Taxmen begin checking high-value deposits, jewellers on their radar

Department keeps a watch on suspectedly illegal transactions, including by jewellers

The income tax (I-T) department will start checking possible mismatches between the declared income and the amount deposited by individuals above Rs 2.5 lakh between November 10 and December 30.

"We are getting data of deposits over Rs 2.5 lakh from banks. We will start enquiries where the deposited amount does not match with the income (declared). The rate of penalty will be 200% in these cases," Central Board of Direct Taxes (CBDT) chairman Sushil Chandra told this newspaper.

He said they would look at the declared income of the earlier 4-5 years and do the matching. "We will re-open