New Delhi: Income Tax department has begun a “discreet” probe into alleged tax violations by the elite American Embassy school here even as the External Affairs Ministry awaits a response from their officials on the details of the teachers working at the school and their salaries.
The I-T department's exemption wing, which deals with tax related issues pertaining to charitable institutions and those bodies which have been granted I-T waivers, has begun a “discreet probe into the financial aspects” and alleged violation of Indian tax laws, sources said.
“Once the preliminary information is gathered, the tax department would be taking a view on issuing notices to the authorities concerned. Also, the CBDT would be informed as this is not a regular case and involves relations between two countries,” the sources added.
As per the information available with the government, several teachers at the American Embassy School were working “illegally”, in violation of both tax laws and their visa status.
The government has earlier indicated that these violations were serious and it was likely to initiate action in this regard.