NEW DELHI: The income tax department has conducted searches against two major luxury watch sellers in Delhi as part of a tax evasion probe.
The tax department launched the searches on Monday on the premises of Kapoor Watch Company and Johnson Company and their promoters, officials said.
The officials said the tax department looked at the account books, sales bills and other documents as part of the searches conducted to probe alleged tax evasion and charges of reported cash sale of watches that are worth a few lakhs.
The two companies have showrooms in prominent Delhi markets and deal in several high-end watches, including that of foreign brands. The central board of direct taxes, however, didn’t comment on the issue.
Officials said that the scope of the inquiry may be expanded to more entities. In case of some of the companies retailing some of the top global brands in India it was noticed that they had not maintained proper records.