I-T officials ask people with black money to avail amnesty scheme

Gaya: Income-tax officials on Tuesday went the whole hog convincing the black money holders of Magadh division to avail the amnesty scheme announced by the union government by making voluntary disclosure. The IT officials convened a meet of the high bracket income tax payees including businessmen, doctors and other professionals to explain the advantages of voluntary disclosure and caution against the penal provisions applicable after the expiry of the voluntary disclosure deadline.The deadline expires on 30 September '2016. Giving details, the I-T officials informed those having undisclosed income need not worry as Rs 10 lakh black money can be whitened by paying tax and penalty to the tune of Rs 4.5 lakh. Generally, the cost of conversion of black money into white comes to 45% of the undisclosed income. After the expiry of the deadline, those who do not avail of the scheme will be subjected to stringent action as per the Income-Tax Act and other relevant laws. Seven categories of tax, income/asset holders can avail of the scheme.
The I-T officials also made it clear that those against whom notices have been issued under different sections of the Income-Tax Act including section 142(1) cannot avail of the amnesty scheme. Those not entitled to avail the benefits of the amnesty scheme officially known as --Income Declaration Scheme 2016--includes persons against whom search or survey has been conducted, cases covered under the Black Money Act 2015 and persons notified under Special Court Act 1992.
It was also explained that amount of undisclosed income will not be included in the total income for any assessment year provided the 45% tax and surcharge is paid. Income disclosed under the amnesty scheme would also be exempted from ‘benami’ transaction provisions. Detailing the benefits of the amnesty scheme, the I-T officials told the select group of invitees that in case of income disclosure neither scrutiny would be made nor any inquiry will be conducted under the Income-Tax Act.
The declared amount will also be exempted from wealth tax and defaulters will enjoy immunity from prosecution once the declaration is made. The department also promised full confidentiality.
According to Central Bihar Chamber of Commerce president Hari Kejriwal, the session was very informative and interactive.