Deadline looms for Guptas as India investigates their taxes

SABC News reports that the controversial Gupta family is expected to appear before Indian tax officials on Monday to answer to allegations of impropriety in their tax affairs.

They report that they have already missed two prior tax summonses.

It was reported last month that the net has been closing around the notorious Gupta brothers for the role they played in the alleged looting of South African resources through state capture.

The Times of India reported from Dehradun that the brothers originally had until March 26 to appear before the Indian Income Tax (I-T) department.

This was in connection with money laundering and “amassing properties in Uttarakhand, Uttar Pradesh and NCR”.

The Guptas’ properties were raided in Dehradun and Saharanpur, which are situated about 70km apart in the north Indian region where the brothers have been spotted.

According to the Times of India the Guptas requested through their representative that they needed another month to prepare for the investigation. The request was then refused by the department, which only granted them an extension of another 10 days. That deadline expires today.

“If the brothers still do not turn up then necessary action would be taken as per I-T rules. A representative of the Gupta brothers had come to the I-T office in Dehradun, seeking a month’s time. He did not disclose the reasons for seeking the extension, so he was allowed 10 more days,” an official was quoted to have said.

Reports have indicated brothers Ajay and Atul may be in Dubai. Ajay has been named as a fugitive from justice by South African authorities and has been red-flagged by Interpol.

Last month several documents with transactions worth millions of dollars were seized.  

If they don’t show up today, Indian officials will escalate their probe.

Tax issues in SA too

City Press reported on Sunday that the the SA Revenue Service (SARS) this week accused the Guptas’ holding company Oakbay Investments of lying about its banking affairs when it received a third-party VAT refund of R70 million last year in improper circumstances.