LSN News › India

Politics · India Bureau

Congress flags ₹10,000 crore tax evasion via unregistered political parties

The Congress party has alleged that over 3,200 unregistered political entities are operating with alleged BJP patronage, enabling large-scale tax evasion. The party has called for a Joint Parliamentary Committee probe into the matter.

LSN India · 9 September 2026

Congress flags ₹10,000 crore tax evasion via unregistered political parties

Congress leader Jairam Ramesh has raised concerns about approximately 3,260 unregistered political parties allegedly functioning under BJP backing, contending they facilitate systematic tax evasion to the tune of ₹10,000 crore. The allegations suggest these entities operate outside regulatory frameworks, circumventing compliance requirements and tax obligations.

Ramesh's assertions point to a structural gap in India's political funding architecture, where unregistered organizations escape scrutiny from the Election Commission and income tax authorities. The Congress has questioned how such a large network of political entities continues to function without formal registration or transparent financial disclosures.

Congress member Jignesh Mevani's associate, Gohil, has specifically sought an investigation into both the unregistered parties and their financial donors. The demand for a JPC reflects the party's attempt to elevate the issue to parliamentary level, seeking a comprehensive review of political funding mechanisms and regulatory oversight.

The allegations come amid ongoing debates over campaign finance transparency in Indian politics. They underscore concerns about potential loopholes in the current system that may allow untraced funds to flow into political activities, bypassing existing checks and balances. The Congress has positioned the issue as one of national importance requiring legislative attention.