The Income Tax Department recovered unreported cash worth Rs. 1.20 crore and jewelry worth Rs. 1.40 crore that was discovered during the operation. This Bangalore-based business is accused of engaging in unethical commercial practices.
The business that produced Dolo-650, the most well-known medication during the Corona era, Micro Labs Limited, has been searched by the Income Tax Department. This Bangalore-based business is accused of engaging in unethical commercial practices.
Nine states have income tax raids.
A wide range of pharmaceuticals is produced by Micro Labs Limited. Additionally, their marketing. One of the most well-liked medications is the company’s fever medication, Dolo-650. The corporation has operations in 50 different countries. On July 6, the company’s 36 locations, spread across 9 states, were raided by the Income Tax Department. Numerous papers and digital data were reportedly discovered during the investigation and have since been seized, according to the Central Board of Direct Taxes (CBDT).
There is proof of tax avoidance
According to preliminary evidence, the business gave various doctors complementary gifts under the guise of “sales and promotion” while recording such expenses as “unallowable expenses” in their accounts. Doctors received free gifts, including reimbursement for their travel costs. The adoption of unfair commercial practices by the group is supported by this evidence. At the same time, there are over Rs 1,000 crore worth of free presents being given out.
Additionally, the Income Tax Department discovered proof that the corporation had made excessive expenditures in the guise of R&D. intentionally deducted money using a number of specific procedures to avoid paying taxes.
300 crore in tax fraud?
According to the Income Tax Department’s investigations, Micro Labs avoided taxes totaling roughly Rs 300 crore. Additionally, it is claimed that the corporation violated Section 194C of the Income Tax Act. During the operation, the Income Tax Department discovered undeclared cash worth Rs. 1.20 crore and jewelry worth Rs. 1.40 crore. It has been taken away.