'WhatsApp messages helped uncover ₹200cr in tax evasion': Nirmala Sitharaman
What's the story
Union Finance Minister Nirmala Sitharaman defended provisions of the new Income Tax Bill, 2025, on Tuesday.
She said WhatsApp messages were instrumental in exposing ₹200 crore of unaccounted money related to crypto assets.
Addressing the Lok Sabha, she said giving tax authorities access to digital records was an important weapon in the fight against tax evasion and financial fraud.
Tech utilization
Digital tools used to uncover tax evasion
Sitharaman also said Google Maps history helped in detecting places where cash was regularly hidden, and Instagram accounts were checked to find out about 'benami' properties.
"Encrypted messages on mobile phones led to unearthing ₹250 crore unaccounted money. Evidence from WhatsApp messages of crypto assets has been detected. WhatsApp communication helped unearth ₹200 crore unaccounted money," she said.
Bill provisions
Bill empowers officials to access communication platforms
The Income Tax Bill, 2025, allows officials access to communication platforms, including emails, WhatsApp, and Telegram. It will also target business software and servers used to hide financial transactions.
Sitharaman explained that collecting evidence from digital accounts was the key to proving tax evasion in court and determining the exact amount of tax evaded.
This provision aims to ensure transparency in financial transactions and strengthen the government's efforts against tax evasion.
Bill details
Income Tax Bill, 2025: Overview
The Income Tax Bill, 2025, was presented in the Lok Sabha on February 13. It seeks to substitute the Income Tax Act of 1961, while keeping most original provisions intact.
The main emphasis of this legislation is simplification of language and elimination of redundant sections.
Per PRSIndia, one major development in this bill is the inclusion of virtual digital assets within the definition of undisclosed income. This move expands coverage to digital tokens, cryptocurrencies, and other cryptographic representations of value.