Dispute Resolution: Litigation
When Regulatory Actions Create Fear, Not Compliance: A Critical Analysis of the Recent Press Release on Bogus Claims of Deductions & Exemptions
By Aditya Bhattacharya, Partner & Akriti Sharma, Trainee Associate
This article critically examines the recent press release by the Ministry of Finance regarding the crackdown on bogus claims of deduction and exemption by the Income Tax Department. While the department aims to prevent tax evasion and strengthen compliance, the Press Release raises several legal and procedural concerns. This article seeks to address several key gaps in the Press Release, as it lacks clarity in its language and intent. Lastly, the article aims to highlight that a more balanced and transparent approach is required to ensure compliance without compromising the rights of the taxpayers.
30 July 2025