Taken every possible step to deal with black money: Govt

Minister of State for Finance Jayant Sinha said that measures taken by the govt include setting up SIT, joining the global efforts to combat cross-border global tax evasion and tax fraud and to promote international tax compliance

As part of ongoing efforts to deal with black money, the government today said it has taken every possible measure to effectively deal with the issue.

"The government has taken every possible measure to effectively deal with the issue of black money," Minister of State for Finance Jayant Sinha said in a written reply to the Rajya Sabha.

He said the measures taken by the government include setting up Special Investigation Team (SIT), Chaired and Vice-Chaired by two former judges of Supreme Court; joining the global efforts to combat cross-border global tax evasion and tax fraud and to promote international tax compliance.

The steps also include amendment in section 139 of the I-T Act and relevant rules requiring reporting of assets (including bank accounts) located outside of the country in Income-tax return and filing of ITR by every person resident in India who has asset located outside India.

The government is renegotiating Double Taxation Avoidance Agreements (DTAAs) with other countries to bring the Article on Exchange of Information to International Standards, Sinha said.

It has introduced General Anti-Avoidance Rule (GAAR) enabling the tax authorities to neutralise the tax advantage sought to be obtained through shell companies in tax havens, he added.

Besides, Finance Minister Arun Jaitley also held discussions with his Swiss counterpart during his recent visit to Davos for attending World Economic Forum meeting as part of the ongoing efforts to deal with the issue of black money stashed abroad.