Government Steps on Black Money he term black money (undisclosed money) is trending in India it mainly emphases on the black money in tax haven countries (which have the legal provision framed in a such way to welcome foreign investments by investors on non or nominal tax liabilities with guaranty of non disclosure of investment with the government of investor’s country) popularly swiss bank is generally known by people at large in India.
The black money within India is on the focus, Indian government have came with several provisions for restricting the flow of fund outside India, the Income declaration scheme 2016 is launched as an opportunity to the individuals and businesses to declare undisclosed incomes after paying 45% tax on such undisclosed money, till the date of 30th September 2017. To reach the public at large the help of advertisement is taken by the department by showing it on TV., announcing it on radio, placing it on metro advertisement boards, the department focus is to reach maximum individual to give the benefit of being free from the consequences of black money being caught by the department.
The Modi government has calmed collection of highest tax from its eligible assesses. The department is participating actively for the maximum collection of tax by imposing checks and balances and close watch on the transactions of cash deposit of 10 lakh or more, for property dealing, 30 lakh or more. In property deals the difference between the official rate (as per stamp duty paid) and the declared rate would be considered as income in the hands the purchaser where the capital gain impose on seller.
The I-T Department in Mumbai mobilises about 3rd of India’s direct taxes. Several transactions not linked to PAN, The income tax department has segregated such non-PAN transaction and recognised 7 lakh high risk clumps having around 14 lakh non-PAN transactions.
The IDS Provisions include the opportunity for the department to reopen more than 6 years old assessments, which should override the provision of I-T act 2000 as IDS comes later,
To resolve the confusion and curiosity amongst the taxpayers, department has given the helpline number to contact for the assistance, in continuation the department has clarified do not contemplate with any claims from unprincipled element who may offer help by falsely represent themselves to be the agent of income-tax department.