Govt unearths indirect tax evasion of Rs 50,000 crore in 2 years
A Special Investigation Team has been constituted, chaired by former Supreme Court Judge M B Shah.
As much as Rs 50,000 crore of indirect tax evasion and another Rs 21,000 crore of undisclosed income has been unearthed by the government in the last years.
Finance Ministry in a statement on Tuesday said the crackdown on black money has led to seizing of Rs 3,963 crore of smuggled goods in two years, a 32% jump over a similar previous period.
"Enhanced enforcement measures have resulted in unearthing of tax evasion of approximately Rs 50,000 crore of indirect taxes and undisclosed income of Rs 21,000 crore," it said.
Listing steps taken by the government to curb the menace of black money both within and outside the country, it said a new Blackmoney Act has been enacted with strict penalty provisions.
Also, a Special Investigation Team has been constituted, chaired by former Supreme Court Judge M B Shah.
"Many recommendations of SIT have been implemented since then," it said adding prosecution has been launched in 1,466 cases as against 1,169 cases in the previous two years (25% increase).
Besides, a new Income Disclosure Scheme is formulated for those holding undeclared assets to pay a total tax and penalty of 45% and come clean.
Amendments have been made in Prevention of Money- laundering Act to enable attachment and confiscation of equivalent asset in India where the asset located abroad cannot be forfeited in case of proceeds of crime.
Also, "Section 8(8) has been inserted in PMLA providing for restoring confiscated property or part thereof, on the directions of Special Court to claimants with a legitimate interest in the property, who may have suffered a quantifiable loss as a result of the offences of money laundering," the statement said.
Section 132 of Customs Act which deals with offence relating to false declaration / documents in the transaction of any business relating to Customs has been made predicate offence under PMLA to curb trade based money laundering.
"The offence of willful attempt to evade any tax, penalty or interest referred to in section 51 of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 has been made a scheduled offence under PMLA," it said.
Foreign Exchange Management Act (FEMA), 1999 has also been amended to provide for seizure and confiscation of value equivalent, situated in India, in case any person is found to have acquired any foreign exchange, foreign security or immovable property, situated outside India, in contravention of FEMA.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.