The Intelligence and Investigation Inland Revenue (IIIR) has unearthed a major scam of tax evasion of millions of rupees by a businessman involved in sale and purchase of land for real estate development.
The IIIR aiding Federal Board of Revenue (FBR) identified a taxpayer Malik Jahangir Khan who was found involved not only in concealing the facts regarding his sources of income but also submitted misleading tax statements to FBR.
Jahangir initially had shown himself as commission agent of a particular real estate developer but the IIIR after investigations found out that he is involved in procurement of land and then its sale to the country’s biggest real estate developer for the development purposes, reads the IIIR report available with The Express Tribune.
It states that this clearly shows that Jahangir was misleading the tax authorities by showing his income from brokerage and commission, whereas his sources of income were from the huge profits he was making from the business of purchase and then sale of land to the real estate developer .
According to the IIIR report, he declared five accounts in different banks showing an amount of over Rs126 million in 2013. However, as of June 30, 2013 the credit entries in only one bank proved deposits of over Rs1 billion in his account.
The bank statements show that the taxpayer has tried to mislead the department with false declaration as the total credits amounting to Rs1,132,998,771 for the period relating to tax year 2013 does not commensurate with the quantum of brokerage/commission received and declared by the taxpayer in the said period.
Published in The Express Tribune, July 16th, 2015.