BBC tax payments have irregularities, says Income Tax Department
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New Delhi: The Income Tax Department claimed that it has uncovered irregularities in the accounting books of BBC. Officials have been conducting a three-day survey in the Delhi and Mumbai offices of the British media company.
Officials said the income and profits disclosed by the BBC's various units were "not commensurate with the scale of operations in India". However, they did not name the BBC. The tax department claimed the findings indicate that "tax has not been paid on certain remittances which have not been disclosed as income in India by the foreign entities of the group. The survey has also thrown up several discrepancies and inconsistencies with regard to transfer pricing documentation."
It said the department gathered "several evidences" and was still in the process of going through statements of employees, digital files, and documents of a "prominent international media company," reported NDTV. The department also accused BBC staff of trying to delay the investigation. "Despite such a stance of the group, the survey operation was conducted in a manner so as to facilitate continued regular media/channel activity."
The BBC did not respond to the charges and said its priority is to support staff, many of whom have had to stay overnight in the offices during the enquiries.
The raid was criticised as retribution for the controversial documentary on Prime Minister Narendra Modi.