Skip to main content

PMO keeping an eye on blackmoney scheme

By
The Prime Minister’s Office ( PMO) is monitoring the response to the four- month domestic black money disclosure scheme, reviewing weekly reports sent by the finance ministry.
“Prime Minister Narendra Modi is personally monitoring the ( response to) the domestic black money scheme, with weekly reports being sent to the PMO,” said a finance ministry official. The department of revenue is sending progress reports on declarations received and outreach measures to popularise the Income Declaration Scheme- 2016.
According to a finance ministry official, the declarations have indicated the scheme has seen a better response than the one for black money stashed abroad announced last year. The department, however, refused to divulge the number of declarations made so far.
“This is the first month and many declarations have already come in, unlike in the case of foreign black money last year when most declarations came in during the last month. But that was also because the number was small as it dealt only with NRIs ( non- resident Indians),” said the official.
The new scheme gives domestic taxpayers a chance to declare undisclosed income or assets and avail immunity from higher penalty and prosecution by paying tax and other charges at 45 per cent. This includes a tax rate of 30 per cent, besides Krishi Kalyan Cess and penalty of 7.5 per cent.
Modi had said in a radio address on Sunday: “ It will be better that you take advantage of the window provided and save yourself from the difficulties that you can face after September 30.” As part of the outreach measures to popularise the scheme, state- run Air India’s boarding pass will also carry details of the scheme. It is looking at printing 500,000 boarding passes with details.
In a related development, Finance Minister Arun Jaitley will meet industry associations, chartered accountants and other professionals on Tuesday to clear doubts about the window.
Besides, the central board of direct taxes ( CBDT) will release a second round of frequently asked questions on the scheme on Tuesday, addressing key concerns. “ The second round of FAQs will address queries related to the benefits of making disclosures under the scheme and the immunities that they will get and the fact that the declarations will remain confidential,” said another official.
While those using the income declaration scheme will get immunity from prosecution under the Income Tax Act and Wealth Act, concerns persist over prosecution under indirect tax Acts. The department of revenue is of the view that no immunity could be extended from prosecution under service tax, excise or Customs Acts. “ We will clarify that it will not be possible,” said the official.
Business Standard New Delhi,28th June 2016

Comments

Post a Comment

Popular posts from this blog

New income tax slab and rates for new tax regime FY 2023-24 (AY 2024-25) announced in Budget 2023

By
  Basic exemption limit has been hiked to Rs.3 lakh from Rs 2.5 currently under the new income tax regime in Budget 2023. Further, the income tax slabs in the new tax regime has been changed. According to the announcement, 5 income tax slabs will be there in FY 2023-24, from 6 income tax slabs currently. A rebate under Section 87A has been enhanced under the new tax regime; from the current income level of Rs.5 lakh to Rs.7 lakh. Thus, individuals opting for the new income tax regime and having an income up to Rs.7 lakh will not pay any taxes   The income tax slabs under the new income tax regime will now be as follows: Rs 0 to Rs 3 lakh - 0% tax rate Rs 3 lakh to 6 lakh - 5% Rs 6 lakh to 9 lakh - 10% Rs 9 lakh to Rs 12 lakh - 15% Rs 12 lakh to Rs 15 lakh - 20% Above Rs 15 lakh - 30%   The revised Income tax slabs under new tax regime for FY 2023-24 (AY 2024-25)   Income tax slabs under new tax regime Income tax rates under new tax regime O to Rs 3 lakh 0 Rs 3 lakh to Rs 6 lakh 5% Rs 6
Post a Comment
Read more

Jaitley plans to cut MSME tax rate to 25%

By
Income tax for companies with annual turnover up to ?50 crore has been reduced to 25% from 30% in order to make Micro, Small and Medium Enterprises (MSME) companies more viable and also to encourage firms to migrate to a company format. This move will benefit 96% or 6.67 lakh of the 6.94 lakh companies filing returns of lower taxation and make MSME sector more competitive as compared with large companies. However, bigger firms have shown their disappointment since the proposal for reducing tax rates was to make Indian firms competitive globally and it is the large firms that are competing globally. The Finance Minister foregone revenue estimate of Rs 7,200 crore per annum for this for this measure. Besides, the Finance Minister refrained from removing or reducing Minimum Alternate Tax (MAT), a popular demand from India Inc., but provided a higher period of 15 years for carry forward of future credit claims, instead of the existing 10-year period. “It is not practical to rem
1 comment
Read more

Don't forget to verify your income tax return in August: Here's the process

By
  An ITR return needs to be verified within 120 days of filing of tax return. Now that you have filed your income tax return, remember to verify it because your return filing process is not complete unless you do so. The CBDT has reduced the time limit of ITR verification to 30 days (from 120 days) from the date of return submission. The new rule is applicable for the returns filed online on or after 1st August 2022. E-verification is the most convenient and instant method for verifying your ITR. However, if you prefer not to e-verify, you have the option to verify it by sending a physical copy of the ITR-V. Taxpayers who filed returns by July 31, 2023 but forget to verify their tax returns, will get the following email from the tax department, as per ClearTax. If your ITR is not verified within 30 days of e-filing, it will be considered invalid, and may be liable to pay a Late Fee. Aadhaar OTP | EVC through bank account | EVC through Demat account | Sending duly signed ITR-V through s
Post a Comment
Read more