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Black Money: Two Cells planned by Government for the declaration of Black Money under Compliance Window

New Delhi: For processing the claims made by those who have illicit wealth in the Overseas bank to declare, the Country’s Department of Income- Tax is likely to establish Two Cells for, one in Delhi and second in Mumbai, expecting the slew of declarations under the Compliance window of newly passed black money law.

There will be senior tax Officials, engaged in the supervisions of the said Cells as such it will be ensured that the persons coming with clean hands will not face any sort of harassment.

It is made clear on behalf of the Government, by its senior official that, such centres will be functioning very effective and its processing information will also be non-intrusive and in the focused manner. He further supports the plan of setting up said cells, by adding that there will be sensitivities and for implementing the scheme, the group of senior officials from Department of Income- Tax will made responsible.

For declaring one’s undisclosed income and assets, it is provided that the Compliance window will be open for two to three months period only. Moreover, for making payments of tax, there will also be provided a further period of 6 months. Notably, it will during the current Financial Year only, the said Compliance Window will be available and soon after the Law will be assented by the President of India, the said will be notified.

The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Bill, 2015 has been passed by both the Lok Sabha and Rajya Sabha, with the aim to require all Indian residents to declare their incomes and assets kept in Foreign countries. And on such declaration, the Bill further makes provisions as to Compliance Window, where persons holding illicit foreign incomes and assets will be asked to pay 30 – 30 per cents tax and penalty respectively to come clean.

And after completing the given period, there will be confiscated all incomes and assets being foreign, and the same will also bring liability to pay penalties and also can be resulted in criminal prosecution and conviction. The law provides for jail which could be extended up to 10 years term.

by Faim Khalilkhan Pathan.