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Ahead of the elections, district poll panels have started fixing the rates for expenses as part of the election expenditure monitoring process

Congress leader Rahul Gandhi today promised the party will take exemplary action against those who have destroyed democracy – “when the government changes” – after the party received a Rs 1,800 crore income tax notice which it called “tax terrorism”.

The fresh tax notice is for the assessment years 2017-18 to 2020-21, and includes penalty and interest.

“When the government changes, action will definitely be taken against those who are destroying democracy. And the action will be taken in such a manner that no one will have the courage to do all this again. This is my guarantee,” Mr Gandhi said in a post on the microblogging platform X.

जब सरकार बदलेगी तो ‘लोकतंत्र का चीरहरण’ करने वालों पर कार्रवाई ज़रूर होगी!

और ऐसी कार्रवाई होगी कि दोबारा फिर किसी की हिम्मत नहीं होगी, ये सब करने की।

ये मेरी गारंटी है।#BJPTaxTerrorism pic.twitter.com/SSkiolorvH

— Rahul Gandhi (@RahulGandhi) March 29, 2024

The Congress is already facing a funds crunch after the Income Tax authorities imposed a penalty of Rs 200 crore and froze its funds. It has not got any relief from the high court. The Congress is likely to go to the Supreme Court next, just weeks before the Lok Sabha elections.

Mr Gandhi alleged central departments such as the income tax are working at the behest of the BJP. The Congress is preparing to fight a long legal war to scrap the tax demands. Congress leader Ajay Maken said the BJP has in the past few years got donations from thousands of people, and their income tax should also be calculated.

Congress General Secretary Jairam Ramesh told reporters the BJP is also in serious violation of income tax laws, and requested the tax department to raise a demand of Rs 4,617.58 crore from the BJP.

Congress treasurer Ajay Maken said political parties have to fill up Form 24A, in which two basic and important pieces of information have to be given — the names and addresses of donors.

“We have analysed all the submissions of the BJP to the Election Commission. The party has faltered every year,” Mr Maken alleged.

Mr Ramesh alleged the BJP has collected Rs 8,200 crore through the “electoral bonds scam” by using “prepaid, postpaid, post-raid bribes and shell companies”.

“Efforts are being made to financially cripple the Congress, but we are not going to be cowed down,” Mr Ramesh said.