Income Tax Notice on Moonlighting: The Income Tax Department has issued Income Tax Notice to many taxpayers in the recent past.
The IT department is also keeping an eye on those employees who have earned through moonlighting apart from their jobs and have not declared it in the income tax return. The department has issued notice for the financial years 2019-2020 and 2020-2021. Among the employees to whom this notice has been sent, there are many people whose earnings through moonlighting is more than their regular salary.
Hiding salary from many IT professionals
According to the report published in Economic Times, most of the people earning through moonlighting are IT Sector, Accounting and Management Professionals. There are many people in whose account money has been transferred from abroad, but while filing income tax return, they have paid tax only on their regular salary. Such cases have been seen the most between the years 2019 and 2021.
During this period, the Income Tax Department has issued notices to more than 1,100 such employees who have not paid tax on earnings through moonlighting. The special thing is that the information of most of the employees earning through moonlighting has been given to the Income Tax Department by the companies in which they are working. In such a situation, the IT department has easily detected such people by tracking foreign transactions.
The number of people doing moonlighting increased during the Corona period
Significantly, during the Corona lockdown, most of the companies had given the facility of work from home to the employees. In such a situation, people were earning handsomely by sitting at home through moonlighting. He was working on many other projects along with his company. Working in more than one company simultaneously is called moonlighting.
Let us tell you that the maximum number of moonlighting has been seen in the IT sector. Seeing the increasing effect of moonlighting, many companies like Wipro, Infosys, TCS etc. took big steps and fired many people from their jobs.