Opportunity for Black Money Holders
Finance ministry has provided an opportunity to disclose Black money in the manner of compliance window at the cost of 60% of the value of assets disclosed.
The person caught with Black Money will have to pay Tax @ 30% on it & penalty upto 90% with an imprisonment which may extend to 10 years.
Following are the concerns, which you need to about such scheme:
1. What include Black money?
* Black Money Include Undisclosed Foreign Income & Assets.
2. Which assets are included in Foreign Income & Assets?
* Bank Accounts held outside India
* Immovable Properties
* Jewellery (Gold/Diamond/Other Precious Metals/Other Precious Stones)
* Artistic Work
* Shares & Securities
* Any Other Assets
3. Which assets are not to be included in Foreign Income & Assets?
* Assets which acquired from Income already assessed under Income Tax Act
* Investment made during the previous year for which notice under section 142/143(2)/148/153A/153C of Income Tax Act is issued
4. How a person can declare undisclosed foreign assets and Income?
* Every such person can either e fill Form 6 at www.incometaxefiling.gov.in or with the designated Commissioner – Commissioner of Income-tax (International Taxation)-2, room no 502, Pratyakshkar Bhawan, Civic Centre New Delhi.
5. At what rate the person chargeable is required to pay Tax on Black Money’
* 30% of the value of such undisclosed assets
* 30% PENALTY is also required to be paid along with Tax
6. Form of tax arrears.-
A statement of tax arrears under section 31 or section 33 shall be drawn up by the Tax Recovery Officer in Form 5.
7. Declaration of undisclosed asset located outside India under section 59.-
(1) A declaration in respect of any undisclosed asset located outside India under section 59 of the Act shall be made in Form 6.
(2) The Principal Commissioner or the Commissioner shall grant an acknowledgement in Form 7 to the declarant within fifteen days of the submission of proof of payment of tax alongwith penalty by the declarant under sub-section (2) of section 63 of the Act in respect of the undisclosed asset located outside India.
8.What are the penalties / punishments that can be imposed upon the assesse on certain failures under Black Money Act
a) Failure to furnish return u/s 139(1) for the previous year in which he held an asset/income outside India.
Penalty of Rs.10,00,000 may levied
Imprisonment for term 6 months - 7 Years
With Fine
b) Failure to furnish in return of income, an information about an asset located outside India
Penalty of Rs.10,00,000 may levied
Imprisonment for term 6 months - 7 Years
With Fine
c) Failure to furnish in return of income, an information about an asset located outside India
Penalty of Rs.10,00,000 may levied
Imprisonment for term 6 months - 7 Years
With Fine
d) Default in payment of tax arrear
Penalty is equal to the amount of Tax in arrier
e) Other defaults
Penalty is Rs.50,000 to Rs.2,00,000
f) Wilful attempt to evade tax,penalty or Interest
Imprisonment for term 3 Years - 10 Years
With Fine
g) Giving False statement in verification
Imprisonment for term 6 months - 7 Years
With Fine
For more information visit: https://taxzippy.com
The person caught with Black Money will have to pay Tax @ 30% on it & penalty upto 90% with an imprisonment which may extend to 10 years.
Following are the concerns, which you need to about such scheme:
1. What include Black money?
* Black Money Include Undisclosed Foreign Income & Assets.
2. Which assets are included in Foreign Income & Assets?
* Bank Accounts held outside India
* Immovable Properties
* Jewellery (Gold/Diamond/Other Precious Metals/Other Precious Stones)
* Artistic Work
* Shares & Securities
* Any Other Assets
3. Which assets are not to be included in Foreign Income & Assets?
* Assets which acquired from Income already assessed under Income Tax Act
* Investment made during the previous year for which notice under section 142/143(2)/148/153A/153C of Income Tax Act is issued
4. How a person can declare undisclosed foreign assets and Income?
* Every such person can either e fill Form 6 at www.incometaxefiling.gov.in or with the designated Commissioner – Commissioner of Income-tax (International Taxation)-2, room no 502, Pratyakshkar Bhawan, Civic Centre New Delhi.
5. At what rate the person chargeable is required to pay Tax on Black Money’
* 30% of the value of such undisclosed assets
* 30% PENALTY is also required to be paid along with Tax
6. Form of tax arrears.-
A statement of tax arrears under section 31 or section 33 shall be drawn up by the Tax Recovery Officer in Form 5.
7. Declaration of undisclosed asset located outside India under section 59.-
(1) A declaration in respect of any undisclosed asset located outside India under section 59 of the Act shall be made in Form 6.
(2) The Principal Commissioner or the Commissioner shall grant an acknowledgement in Form 7 to the declarant within fifteen days of the submission of proof of payment of tax alongwith penalty by the declarant under sub-section (2) of section 63 of the Act in respect of the undisclosed asset located outside India.
8.What are the penalties / punishments that can be imposed upon the assesse on certain failures under Black Money Act
a) Failure to furnish return u/s 139(1) for the previous year in which he held an asset/income outside India.
Penalty of Rs.10,00,000 may levied
Imprisonment for term 6 months - 7 Years
With Fine
b) Failure to furnish in return of income, an information about an asset located outside India
Penalty of Rs.10,00,000 may levied
Imprisonment for term 6 months - 7 Years
With Fine
c) Failure to furnish in return of income, an information about an asset located outside India
Penalty of Rs.10,00,000 may levied
Imprisonment for term 6 months - 7 Years
With Fine
d) Default in payment of tax arrear
Penalty is equal to the amount of Tax in arrier
e) Other defaults
Penalty is Rs.50,000 to Rs.2,00,000
f) Wilful attempt to evade tax,penalty or Interest
Imprisonment for term 3 Years - 10 Years
With Fine
g) Giving False statement in verification
Imprisonment for term 6 months - 7 Years
With Fine
For more information visit: https://taxzippy.com
Comments