Penalty on black money worth Rs.2,428.4 crore collected

The central government on Wednesday announced that it has collected Rs.2,428.4 crore worth of taxes and penalties after 644 declarations were made about possessing black money.

According to the Ministry of Finance, the declarations were made under the compliance window provided in the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

The Act came into force from July 1, last year, and provided for a one-time compliance-window to black money holders to declare their assets held abroad and pay due taxes and penalty on the value of assets declared.

The ministry elaborated that the declarants were liable to pay tax at the rate of 30 percent and a like amount of 30 percent by way of penalty on the value of assets declared by December 31 2015.

"The amount received by way of tax and penalty up to December 31, 2015 is Rs.2,428.4 crore," the statement said.

"The shortfall is primarily on account of certain declarations, in respect of which there was prior information under the provisions of double taxation avoidance agreements/tax information exchange agreements or receipt of payment after December 31, 2015."