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LATEST NEWS UPDATES | EC for probe into Lok Sabha poll funding -Pradeep Thakur

EC for probe into Lok Sabha poll funding -Pradeep Thakur

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published Published on Feb 12, 2015   modified Modified on Feb 12, 2015
-The Times of India

NEW DELHI: The Election Commission is in the process of sending donation details of all political parties to the Central Board of Direct Taxes for a probe by the Income Tax authorities to ascertain whether entities making contributions were genuine.

But what has rattled the poll watchdog is the huge expenditure made by some of the leading parties during the Lok Sabha elections in March-May last year, disproportionate to their declared sources of income.

For instance, BJP which claimed it received Rs 363 crore in 2013-14 (up to March 31), has shown an expenditure of Rs 714 crore during parliamentary polls. The donations declared by parties are those which are in excess of Rs 20,000 each. Except for the DMK, no other party has declared total contributions it had received in the last financial year.

DMK has revealed it received Rs 80 crore in 2013-14 but its individual donations in excess of Rs 20,000 were to the tune of Rs 77 lakh only.

Congress spent more than Rs 516 crore during the parliamentary polls, according to the EC. However, information submitted to the Commission show total contribution declared by the party at Rs 59 crore. The remaining list of donors has not been made available.

Similar was the case with NCP which received Rs 15 crore in contributions for which it has furnished details to the Commission. But its overall expenditure during the Lok Sabha polls was Rs 51 crore.

Mayawati-led BSP has said it did not receive a single contribution which was above Rs 20,000. But the party's expenditure was Rs 30 crore during the LS polls. The Aam Admi Party, which drew a blank in Delhi during the parliamentary polls, has so far not submitted any expenditure details.

It is mandatory for political parties to report all their contributions received in a financial year before the date of filing of their Income Tax returns. In 2013-14, the due date was extended to November but the BJP was the last to submit its report on December 20.

Delaying submission of contribution reports beyond the due date can lead to parties facing penal action such as withdrawal of their I-T exemption and payment of tax on such contributions.

Even with the partial disclosure of contribution, leading national parties seem to have made a windfall in the LS election year. The Congress received Rs 12 crore in disclosed contributions in 2012-13 which increased to over Rs 59 crore in 2013-14. The BJP received Rs 83 crore which increased to Rs 363 crore during the same period.


The Times of India, 12 February, 2015, http://timesofindia.indiatimes.com/india/EC-for-probe-into-Lok-Sabha-poll-funding/articleshow/46205946.cms


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