Termite tales: I-T doesn't buy Abhishek Singhvi's story, slaps penalty of Rs 57 cr

In what could be more trouble for Congress leader and Rajya Sabha MP Abhishek Manu Singhvi, the Income Tax settlement commission has reportedly added over Rs 91.95 crore to his declared professional income over a three-year period and also slapped a penalty of Rs 56.67 crore. [caption id=“attachment_1797247” align=“alignleft” width=“380”] Senior Congress leader Abhishek Manu Singhvi.[/caption] According to an Indian Express report , Singhvi, a senior Supreme Court lawyer, citing his inability to furnish documentary proof to back his expenses claims told the commission that a termite attack at his Chartered Accountant’s office in 2012 destroyed documents. He even claimed that a police report was filed in 2012. Singhvi defended himself over the issue. Times Now quoted him as saying, " I have got a stay from Rajasthan HC on Commission’s order. I have been the highest or second highest tax payer in this profession." Earlier Singhvi told The Indian Express “I went to the Settlement Commission suo motu before any survey or investigation started since I could not back up my claim due to destruction of records, and the loss of which I had reported to police before the I-T probe even began.” While the commission refused to accept his story about termites, the 103-page order was stayed in September this year after Singhvi moved the Jodhpur High Court. Singhvi approached the Commission last year, seeking immunity from penalty and prosecution which has since been denied to him. In June 2013, Income-Tax officials had claimed that Singhvi had failed to disclose earnings worth Rs 22 crore, while he in-turn claimed he earned just half the amount. Singhvi claimed an “error in computation and laxity” on the part of people who maintained his accounts, but the Income Tax department seemed to be less inclined to believe him, saying he was liable to pay Rs 7 crore as tax. According to an Indian Express report then, Singhvi has gone to the Income Tax Settlement Commission (ITSC) seeking immunity after having already declared an income of around Rs 11 crore for which he has paid a penalty of Rs 3 crore as tax for the assessment year of 2010-11.