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Over 683,000 firms with PAN didn't file I-T returns in FY17: Gangwar

Delhi tops, with over 144,000 such firms, Mumbai comes next with 94,155

Press Trust of India  |  New Delhi 

Representative image of income tax returns.
Representative image of income tax returns.

Over 6.83 lakh companies have a permanent account number (PAN) but did not file returns for assessment year 2016-17, was informed on Tuesday.

The number of companies which have but do not file returns have increased over the past five years from 4.09 lakh in assessment year 2012-13, to 4.60 lakh (AY 2013-14), Minister of State for said in a written reply to a question in the

The number was 5.19 lakh in AY 2014-15, 5.73 lakh (AY 2015-16) and 6.83 lakh (AY 2016-17).

As per the of the department, had the most number of such companies at over 1.44 lakh, followed by (94,155) which had but were non-filers for assessment year 2016-17.

was third in the region-wise list at 63,567 companies, followed by and (taken as one region) at 60,983.

"Non filing of return of income by a company does not necessarily indicate its indulgence in money laundering activities," Gangwar said.

However, in cases where instances of money laundering come to the notice of the tax department, suitable action is taken as per law, he said.

Under the Companies Act, notices have been issued to all those companies which were prima facie not carrying out any business or operation for a period of two immediately preceding financial years and had failed to file their financial statement for the said period.

"Consequently, names of a large number of companies have been removed (struck off) from the Registrar of Companies," he said.

Besides, the I-T department has also taken effective action -- like searches, surveys and filing of prosecution complaints before criminal courts -- against the shell companies as part of the ongoing exercise against

is a 10-digit alphanumeric number alloted by the I-T department to individuals and entities.

First Published: Tue, July 25 2017. 20:34 IST