Surat is a hub of diamond and textile business. Most entrepreneurs have their business spread across the world. Recently, the Income Tax Department has set up Foreign Asset Investigation Units in Ahmedabad and Surat to investigate anonymous assets abroad. An investigation by the Surat unit has revealed that 300 taxpayers have invested heavily abroad. All these investors are likely to be prosecuted by the Income Tax department.
The Foreign Asset Investigation Unit of the Surat Income Tax Department has received information of over 200 taxpayers from Surat and South Gujarat who have large sums of money in their bank accounts abroad, have invested in the stock market or have invested heavily in real estate and hotel business. An investigation into their sources of income has been launched. The department has also started an investigation about two industrialists having chartered planes abroad.
Large scale trade and industry has spread in Surat and South Gujarat. Along with textile and diamond industry, there are many companies in South Gujarat including chemical and medical industry. Some of the industrialists of Surat have also invested abroad to meet the needs of the trading industry and to expand its reach.
The Inquiry Department has initiated inquiries to investigate whether taxpayers have declared foreign assets in their returns.
