The Income Tax Department on Thursday clarified that it had the power to gather information on depositors of cooperative bodies.
The department said it was issuing the clarification in the context of a call given by the Kerala Primary Societies and Kerala Cooperative Employees’ Union to observe a dharna before its offices in the State on Friday in protest against the notices given to cooperative banks and societies seeking information on depositors.
Directive
The department assured the general public that “proper checks and balances are in place and as per instructions of the Central Board of Direct Taxes, limits of calling for information have been enhanced to Rs.5 lakh from Rs.2 lakh so as not to cause inconvenience to small depositors.”
