Like Legal Law

SEARCH AND SEIZURE – SECTION 132 OF THE INCOME TAX ACT, 1961 Introduction The Income Tax Department has the power to conduct a search and seize assets when it believes that a person is hiding income or property to avoid tax. This process is known as Search and Seizure under Section 132 of the Income Tax Act. The main aim of this provision is to collect evidence of undisclosed income or wealth and to prevent tax evasion. It is not a punishment but a means to detect and control illegal concealment of income. Legal Provision – Section 132 Section 132 authorizes certain officers of the Income Tax Department, such as the Director General, Chief Commissioner, or Commissioner, to issue a search warrant if they have sufficient reasons to believe that a person has undisclosed income or property. Conditions for Conducting a Search A search under Section 132 can be conducted only when the officer has “reason to believe” that any of the following situations exist: The person has ...