Identity theft: How a farmer ended up with a ₹14 cr tax bill he never owed
New Delhi, Apr 6, 2026
A farmer in Budaun district of Uttar Pradesh was left stunned after receiving tax notices of Rs 14.66 crore, allegedly for a fraudulent firm operating by using his name in Delhi.
For Bhola Singh, a small farmer from Budaun in Uttar Pradesh, the past week has felt unreal.
“I don’t understand these numbers. I have never run any business,” he said, still trying to process how he ended up receiving tax notices worth ₹14.66 crore—an amount he says he could never repay even if he sold all his land.
A notice that changed everything
It began on March 29, when Singh, a resident of Khurrampur Bhamori village in Wazirganj, received a notice from the Income Tax Department asking him to deposit ₹1.02 crore.
Soon after, another notice followed—this time from the GST department—demanding ₹13.63 crore.
“I thought it was some mistake. How can a farmer like me owe crores?” Singh asked.
A business he never started
When Singh approached officials, he was told that a firm named “Ram Store” was operating in Delhi’s Naraina Industrial Area under his name.
The firm, according to officials, had carried out transactions worth crores and accumulated large tax dues.
The shock was even greater because Singh said:
• He has never travelled to Delhi
• He has never started any business
• He has no connection to the firm
Identity misuse comes to light
During a preliminary probe, officials found that the firm had been registered using Singh’s PAN and Aadhaar details.
This points to a clear case of identity theft, where unknown individuals allegedly used his documents to set up a fake business and carry out large transactions.
“I don’t even know how someone got my documents,” Singh said.
Running from office to office
After receiving the notices, Singh submitted a written complaint to the district administration.
The response was swift at the top level. Budaun District Magistrate Avneesh Rai confirmed that a two-member investigation team—including the Additional District Magistrate (Finance) and Deputy Commissioner (GST)—has been formed.
But on the ground, Singh said the experience has been frustrating.
He claims that when he tried to file a complaint:
At the local police station and at the cyber crime unit
His report was not registered, leaving him feeling helpless.
“How can I pay this?”
For Singh, the biggest fear is the scale of the demand.
“I cannot repay this amount even if I sell everything,” he said.
The notices, he added, have caused immense stress for his family, who are unable to understand how such a situation arose.
Administration steps in
District authorities have acknowledged the seriousness of the case.
According to the district magistrate:
• The matter appears to involve fraud and forgery
• A detailed investigation is underway
• A report is expected within 3–4 days
The DM said that a farmer has received a notice from the Income Tax and GST department informing him to pay the taxes.
"The farmer has apprised the authorities of the notice by submitting a formal written application. A two-member team, comprising the Additional District Magistrate (Finance) and the Deputy Commissioner (GST), has been constituted to investigate the matter," Rai said.
The case appears to involve fraud and forgery. The team will conduct a thorough investigation into the matter, and legal action will be initiated against the guilty parties," the DM said.
The farmer also asserted that he would be unable to repay such a colossal sum even if he sells off all his land and assets. He has appealed to the administration to conduct an impartial inquiry into the matter, take strict action against the culprits, and ensure that he gets justice.
Rai told PTI, "The report of the investigation is expected to come within 3-4 days, following which action will be initiated against the individual or firm involved in the fraudulent activity, and the outstanding Income Tax and GST dues will be recovered from them." He further explained that the farmer Bhola Singh's PAN card was misused to commit tax fraud. He also said that all details will come to light during the course of the investigation, and appropriate legal action will be taken.
Officials have also indicated that:
The tax dues will be recovered from the actual culprits, not the farmer, if fraud is established
A larger warning for everyone
While Singh’s case is extreme, it highlights a growing risk:
Misuse of personal documents like PAN and Aadhaar
With financial systems becoming more digitised, identity theft can:
• Create fake businesses
• Generate large transactions
• Leave unsuspecting individuals facing legal trouble
What you can learn from this
This incident is a reminder to:
• Keep your PAN and Aadhaar details secure
• Regularly check for any unauthorised financial activity
• Act quickly if you receive any unexpected notices
With inputs from PTI
[The Business Standard]
