• Bribe Fighter
  • 9 years ago

Corrupt Commissioner of Income Tax based at Ahmedabad

Reported on May 26, 2011 from Ahmedabad , Gujarat  ι Report #32007

Mine is a case of harrassment because I refused to pay a bribe !

I own a business and invest my life savings into stock market. As a result, my income comprises of business income and short-term and long-term capital gains from sale of shares.

In the first instance, I was asked for a bribe by the Income Tax Officer through my chartered accountant for not disallowing the short-term capital gains made by me as short term capital gains liable for lower rate of taxation but as business income liable for normal rates of taxation. When my C.A. told the I.T.O. that I paid my taxes honestly and would hence never agree to pay a bribe, the ITO replied, "Then, tell him not to be honest, that way, he'll not only save taxes but also give us money and everyone will be happy !".
My non agreeing to pay the bribe resulted in the ITO passing an assessment order wherein he added the short term capital gains to my income treating it as business income and not as short term capital gains liable to tax at special lower rates and slapped additional tax liability running into lacs !

On appealing the ITO's order, the CIT also sent a feeler through my CA about wanting a bribe to set aside the ITO's order. When I refused to tow the line, my CA told me to be practical by saying, "In addition to waste of time and energy, going to Tribunal is going to cost you at least Rs. 1 Lac in fees etc., why don't you pay-off although doing so is morally wrong ?" I told my CA, I'd rather pay a lawyer and fight it out rather than support corruption !

Upon once again refusing to tow the line, the CIT upheld the ITO's order and now, I'm in the process of filing an appeal in the Tribunal.

When I shared this with a friend of mine, he said "Honesty PAYS !" At first, I didn't understand what he meant by saying this as his face had broken into a jeering look...later on he explained saying, "It is the HONEST people who PAY for being honest ! They are the one's who are harassed the most by the corrupt ! How true !!! Sometimes, I wonder whether the govt deliberately leaves certain provisions of tax open to multiple interpretations only so that corrupt officers can exploit it to make money ???

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