Holiday Posts on Instagram Are Tipping Off India’s Taxman
- Social media posts, bank disclosures to help assess spending
- Officials see tax compliance increasing 30%-40% in first phase
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A photo of your shiny new car on Instagram or the Facebook post about your chic holiday cottage may lead India’s taxman to your door.
Starting next month, Prime Minister Narendra Modi’s government will begin amassing a warehouse of virtual information collected not just from traditional sources like banks but also from social media sites, as it looks to match residents’ spending patterns with income declarations, said people familiar with the matter. Officials will be able to spot those who pay too little tax without raiding offices and homes as they currently do, the people said, asking not to be identified citing rules on speaking with the media.