Officials have directed them to withdraw such claims and pay the revised tax along with interest, cautioning that failure to comply could attract hefty penalties and prosecution.
NEW DELHI: The Income Tax Department has flagged numerous employees of the Centre-run Ram Manohar Lohia (RML) Hospital for allegedly filing bogus claims to secure deductions and exemptions on their taxable income.
Officials have directed them to withdraw such claims and pay the revised tax along with interest, cautioning that failure to comply could attract hefty penalties and prosecution.
According to a communication issued by the department to the hospital authorities, the inquiry revealed that “numerous employees of your office have made bogus claim of deductions/exemptions in their return of income for various assessment years.”
It noted that the employees declared one set of figures to the hospital for Tax Deducted at Source (TDS) while later inflating claims in their returns to seek refunds.
“The above action on the part of the employees have been carried out by claiming bogus deductions/exemptions over and above to what was declared before you for the purpose of effecting TDS on their salaries. Subsequently they have benefited ineligible refunds,” the department said in its letter.
Officials said such cases are prima facie liable for penalties and prosecution under the Income Tax Act, 1961. Hospital authorities have been asked to sensitise employees about the consequences and to...
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