Jaitley proposes introduction of new bill to curb black money

Finance Minister Arun Jaitley on Saturday proposed the introduction of a bill for a new law in order to curb black money stashed abroad.

"Tracking down and bringing back wealth that legitimately belongs to the country is our abiding commitment to the country. Recognising the limitations under the existing legislation, we have taken a considered decision to enact a comprehensive new law on black money to specifically deal with black money stashed abroad. To this end, I propose to introduce a bill in the current session of the Parliament," Jaitley said in his 2015-16 budget speech in Parliament.

Among the salient features of the bill mentioned by Jaitley were rigorous imprisonment of 10 years with a penalty of 300 percent in tax evasion cases in relation to foreign assets; rigorous imprisonment of seven years for the non filing of tax returns or the filing of return with inadequate disclosures; taxing at the maximum marginal rate on undisclosed income from any foreign assets; the mandatory filing of tax returns of foreign assets; including entities, banks, financial institutions as liable for prosecution and penalties; and making the concealment or evasion of income a predicate offence.

"The Government proposes Benami Transactions (Prohibition) Bill to curb domestic black money to be introduced in the current session of Parliament," Jaitley further said.

Jaitley also proposed amendments in the Income Tax Act which would prohibit the acceptance or repayment of advance in cash of Rs. 20,000 or more for any transaction in immovable property.