The Income Tax Department on Monday scrutinized onion traders in Maharashtra, Delhi and Madhya Pradesh following reports of alleged sales of the commodity amid its skyrocketing prices, officials said.
They said Income Tax officials checked account books of some wholesale dealers against physical stocks of the commodity and its delivery to buyers as part of a tax evasion probe.
The department is examining the onion stocks as its prices have shot up to about Rs 100 a kilogram in various markets and there are reports of hoarding, they said.
Only business premises of stockists in Maharashtra, Delhi and Madhya Pradesh were surveyed, they added. Some digital evidence and incriminating documents have been found and are being analysed, according to the officials.