New scheme to declare unaccounted money starts from today

People with unaccounted cash can make use of PMGKY scheme from tomorrow, said Finance Secretary Hansmukh Adhia. He said declarations made under this new scheme would be kept confidential.

New Delhi, Dec 16: Finance Secretary Hansmukh Adhia on Friday urged people with unaccounted cash to make use of the Pradhan Mantri Garib Kalyan Yojana and declare their wealth. He said the declarations made under this new scheme would be kept confidential.

Addressing the media personnel in New Delhi, Adhia said channels have been created for people to give government the information on conversion of black money to white.

Unaccounted cash can be disclosed under PMGKY that comes with 50 per cent tax and penalty starting from tomorrow till 31st March, '17: Adhia pic.twitter.com/USxGpU5gWa

— ANI (@ANI_news) December 16, 2016

He said that the financial intelligence unit is monitoring and analysing deposit information, and would act accordingly.

"Don't want inspector-raj to affect people, the people should understand that all information about their deposits is with the department," ANI quoted Adhia.

PMGKY is a scheme similar to IDS except that the tax rate is higher at 50 per cent and a quarter of the declared income will be locked in for four years.

The Taxation Laws (Second Amendment) Bill, 2016 was passed by the Lok Sabha as a Money Bill on November 29 and the PMGKY scheme forms part of the Bill.

Finance Minister Arun Jaitley had earlier said that IDS was the last chance for people with undisclosed income. But with the deposits of old currency notes of Rs 500 and Rs 1,000 notes rising sharply across the bank accounts since demonetasion, the government has decided to give another chance to those with unaccounted cash.

A government website states that people with accounted money are supposed to show the reason for having such amount.

In a major assault on black money, Prime Minister Narendra Modi had on November 8 announced demonetisation of 500 and 1,000 rupee notes and asked holders to deposit such notes in banks.

OneIndia News