Income tax update: If you are also doing a startup or are planning to invest money in it (startup investors), then there is important news for you. Income tax officials may ask for details about the ITR filed by startup investors to find out whether the amount invested is in line with the income shown in their individual ITR. Income Tax Department has given this information.
Reply to Ashneer Grover’s post
Responding to a post by BharatPe co-founder Ashneer Grover on social networking platform
Grover has raised the issue
Grover had raised the issue that ‘in the last one month, many startups have received tax notices, in which they have been asked to provide information about their shareholders.’
There is a demand for investigation
The Income Tax Department has said that in this case, the department appears to have sought to investigate the genuineness of the transactions by the shareholder-investor and the source of investment, so as to verify that the amount invested has been reported in the ITR of the investors. Whether it is in line with the income shown or not.”
Investors’ ITR can be verified
“Alternatively, if the ‘PAN’ of the investors is shared by the company with the Assessing Officer (AO), he can verify the ITR of the investors,” the department said.