Officials said the department has issued a summons to Independent MLA from Jind Jasbir Deswal, asking him to appear before it after raids were conducted on the premises of a group of companies linked to him in the last week of April for alleged tax evasion.
The searches were conducted following allegations that the group was making "unaccounted cash sales and purchases, booking of bogus expenses and showing unaccounted income in the books by using shell companies".
Efforts to reach the MLA on mobile phone did not fructify.
It is alleged that the firm, also involved in poultry business, accepted scrapped currency notes during the demonetisation period last year in violation of rules.
While the Haryana legislator is yet to respond to the summons, his son has been cooperating with the investigation, the department said.
Statements of some of the directors of the company, a chartered accountant and an another employee have been recorded and the I-T Department will soon file a prosecution complaint before a court on charges of tax evasion and generation of black money, they said.
Get Breaking news, live coverage, and Latest News from India and around the world on NDTV.com. Catch all the Live TV action on NDTV 24x7 and NDTV India. Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.