Fake Income Tax Refund Scam of Rs 500 Crore Unearthed in Pune
Pune, 11th September 2025: The Directorate of Income Tax (Investigation) has uncovered a large-scale fake income tax refund scam in Pune, involving alleged manipulation by tax return professionals over the past five years. Officials estimate the total fraud to be around Rs 500 crore.
According to a senior Income Tax department official, the scam exploited loopholes in the previous tax filing system to claim refunds for taxpayers on a massive scale. Investigators have identified over 10,000 income tax returns filed by return specialists containing dubious claims.
“The fraud involved claiming deductions without submitting any supporting documents for home loan interest and principal repayments, medical and insurance premiums, investments in savings schemes, educational loans, and house rent,” said the official. “These gaps have now been addressed in the updated tax filing system.”
The investigation is ongoing, with authorities focusing on tracing the bogus beneficiaries of the refunds. The official added, “We have already taken action against the alleged return specialist responsible for filing these returns. A drive is underway to identify individuals who received these fraudulent refunds. Once located, they will be subjected to fines and legal action.”
