Suspecting the use of black money to finance deals in the country's booming real estate sector, the Income Tax Department is keeping close tabs on the sources of funding for developers' lucrative projects.

"The focus of the Income Tax Department is real estate developers as the department has received many complaints of the involvement of black money in these deals. There is a large amount of money involved in the sale and purchase of land and huge income is generated," a Finance Ministry source told PTI.

Recently, a well-known Mumbai developer admitted to undisclosed income of Rs 200 crore. In addition, Rs 100 crore was recovered from a Surat-based real estate company in a separate case.

Besides real estate, other sectors which are under the scanner of the Income Tax Department include mining, civil construction, education, jewellery and manufacturing, the source added.

PTI