The proposed Bill on unaccounted wealth that the finance ministry will table this Parliament session will allow an opportunity for black money offenders to disclose overseas assets, pay taxes on it along with a 300% penalty in order to avoid prosecution and imprisonment.
Central Board of Direct Taxes chairperson Anita Kapur told reporters the new law will introduce a “rebutable presumption” that the undisclosed foreign asset constitute concealed income. Assessees will be allowed an opportunity to present their views on why the asset was not disclosed.
“The very fact that one has not disclosed one’s foreign asset will make one liable for prosecution. If we detect an unreported overseas asset, we would quantify the income that escaped assessment and will bring it to tax at the maximum marginal rate (30%),” said Kapur. The new law will mandate reporting of movable and immovable assets abroad.