Demonetisation: Vehicle transactions to come under scanner
Thiruvananthapuram: After the demonetization move, vehicle purchases have come under scanner. The Central Excise and Customs officials have approached the Motor Vehicles Department seeking details about unusual purchases.
The MVD will be looking at purchases made after November 8. It is learnt that black money has been converted into white with sale of used cars. This money is being deposited in banks saying it was received after selling vehicles.
It is not mandatory for the purchaser to immediately change the ownership in his name. It could be registered in benami’s name too. The Used Car owners need no trade certificate from the Motor Vehicle Department. Vehicles transactions are done mostly with no documents. Generally vehicles are sold without changing the ownership.
The mediators who engage themselves in this deal do not figure in any kind of documents. Hence they escape the Income Tax net. The seller and the purchaser do not approach the MVD for change of ownership. There are incidents that vehicle sale had happened even by card transactions.