<p>The Income Tax Department has detected black income of about Rs 700 crore after it raided a Tamil Nadu-based group that undertakes civil government contracts, the CBDT said on Thursday.</p>.<p>The department also seized Rs 21 crore "unaccounted cash" during the searches.</p>.<p>The raids were carried out on December 14 at 15 premises in Erode and Chennai against the group which is a "leading civil contractor for government works, specialised in erecting sea wave breakers along the coastlines and is also diversified into bus transport, running marriage halls and food masala business".</p>.<p>"It was found that the group indulges in inflation of purchases and other work contract expenses. Such inflated payments made to the suppliers and sub-contractors are received back in cash regularly," the Central Board of Direct Taxes (CBDT) said in a statement.</p>.<p>The unaccounted income thus generated comes to around Rs 700 crore, which is "ploughed back" into real estate investments and business expansion, it said. </p>.<p>Out of this, the assessee has admitted to having an undisclosed income of Rs 150 crore, so far, the Board claimed.</p>.<p>The CBDT is the administrative authority for the tax department.</p>
<p>The Income Tax Department has detected black income of about Rs 700 crore after it raided a Tamil Nadu-based group that undertakes civil government contracts, the CBDT said on Thursday.</p>.<p>The department also seized Rs 21 crore "unaccounted cash" during the searches.</p>.<p>The raids were carried out on December 14 at 15 premises in Erode and Chennai against the group which is a "leading civil contractor for government works, specialised in erecting sea wave breakers along the coastlines and is also diversified into bus transport, running marriage halls and food masala business".</p>.<p>"It was found that the group indulges in inflation of purchases and other work contract expenses. Such inflated payments made to the suppliers and sub-contractors are received back in cash regularly," the Central Board of Direct Taxes (CBDT) said in a statement.</p>.<p>The unaccounted income thus generated comes to around Rs 700 crore, which is "ploughed back" into real estate investments and business expansion, it said. </p>.<p>Out of this, the assessee has admitted to having an undisclosed income of Rs 150 crore, so far, the Board claimed.</p>.<p>The CBDT is the administrative authority for the tax department.</p>