I-T dept asked to act against tax evaders

The Finance Ministrys Foreign Taxation division can now ask the I-T range concerned to begin prompt prosecution action and issue summons to the depositor based on the evidence provided by the financial enforcement wing of the foreign nation concerned. The Central Board of Direct Taxes CBDT has issued orders in this regard as this will help in initiating quick action in cases where foreign accounts or assets have been traced by investigators, a senior I-T officer said.

The step is aimed at ensuring seamless flow of information between the investigating officer and the party under prosecution. Sources said the step has been taken in the backdrop of CBDT obtaining for the first time investment data of a few Indians who had accounts in Germanys Leichestein bank,recently.