In a recent development, controversies and allegations have overtaken the political landscape of India just few days prior to Lok Sabha Elections 2024. After the AAP’s recent challenges, the Indian National Congress has been served notices by the Income Tax Department demanding a staggering sum of approximately Rs 1823 crore. The notices have ignited a war of words between the Congress party and the ruling Bharatiya Janata Party(BJP). Congress has accused the BJP for selective targeting and alleged that the ruling party is misusing government institutions to remove oppositions.
According to a report senior Congress Party leaders Malikarjun Kharge and Jairam Ramesh has protested against the notices which they perceive as “tax terrorist” which is meticulously orchestrated by the Income Tax Department and also added that BJP is behind these notices aiming to financially cripple the opposition.
As per the statements from Congress leaders, the Income Tax Department issued multiple notices to the party, with two additional notices, reportedly sent just a day after the initial demand for Rs 1,800 crore. They further emphasised that these actions represent an assault on the democratic fabric of the country. The Congress party has also accused the BJP of engaging in “serious violations” warranting penalties amounting to Rs 4,600 crore.
However, the Income Tax Department has turned a blind eye to the alleged transgression by the ruling party and disproportionately targeted the opposition pirates. This perceived bias has fueled concerns about the misuse of state machinery for political purposes, particularly in the run-up to crucial elections.
Congress is not the only party facing scrutiny from the Income Tax Department, this encompasses other opposition parties as well, with left-wing parties like the Communist Party of India (CPI) and the communist party of India (Marxist)(CPI-M) facing similar issues from the Income Tax Department. The Trinamool Congress has also raised allegations of harassment, with party leader Saket Gokhale disclosing that he has received 11 notices from the tax authorities within a span of 72 hours.
Congress President, Malikararjun Kharge highlights the imposition of hefty penalties on Congress, citing amounts ranging from Rs 54 crore for the 1993-94 to Rs 480 crore for 2019-20. He has questioned the motive behind the government’s aggressive stance towards the principal opposition party and characterised these actions as part of the broader strategy to weaken the congress financially.
The Income Tax Department’s pursuit of Congress comes against the backdoor of a reassessment order that could potentially demand an additional Rs 500 crore from the party. While congress leaders assert the party’s tax-exempt status, sources within the department claim that this privilege was revoked in 2018-19 due to alleged irregularities, particularly the extensive use of cash during the 2019 Lok Sabha elections.
The sources further revealed that the Income Tax Department conducted searches during the electoral process, uncovering instances of cash usage, which prompted the reopening of assessments for a seven-year period. Subsequent demands and recovery proceedings have ensued, further exacerbating tension between the Congress party and the government.