BLACK MONEY IN INDIA EPUB!
In essence, demonetisation has not met the government's expectation of wiping out black money from the Indian economy. The surge comes as a surprise given India's continuing clampdown on suspected black money stashed abroad. Data from India's Central Bank has revealed that the country's unprecedented ban on high-value notes that was designed to detect "undeclared.
|Published:||5 February 2014|
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Indian black money
Credible deterrence needs to be cost effective, claims the report. Supportive measures[ edit ] Along with deterrence, the report  suggests public awareness initiatives must be launched.
Public support for reforms and compliance are necessary for long term solution to black money. In addition, financial auditors of companies have to be made more accountable for distortions and lapses.
Indian money in Swiss banks rise 50% to over ₹ crore - The Hindu
The report suggests Whistleblower laws must be strengthened to encourage reporting and tax recovery. Amnesty[ edit ] Amnesty programmes have been proposed to encourage voluntary disclosure by tax evaders.
These voluntary schemes have been criticized on the grounds that they provide a premium on dishonesty and are unfair to honest taxpayers, as well as for their failure to achieve the objective of unearthing undisclosed black money in india.
The report  suggests that such amnesty programmes can not be an effective and lasting solution, nor one that is routine. Excessive demonetised currency notes[ edit ] After the recent demonetisation of old and Rs notes, Reserve Bank of India RBI collected these notes in excess of more than INR 2 black money in india what it had officially released into circulation earlier.
GoI shall conduct thorough probe to reveal how it has happened and bring to book the culprits. This could have happened by unscrupulous politicians yielding power with the connivance of RBI top brass to plunder wealth of the nation.
International enforcement[ edit ] India has Double Tax Avoidance Agreements with 82 nations, including all popular tax haven countries. Of these, India has expanded agreements with 30 countries which requires mutual effort to collect taxes on behalf of black money in india other, if a citizen attempts to hide black money in the other country.
The report  suggests that the Agreements be expanded to other countries as well to help with enforcement.
Modified currency notes[ edit ] Government printing of such legal currency notes of highest denomination i. After a 2-year period is expired there should be a one-year grace period during which these black money in india notes should be submitted and accepted only in bank accounts.
Following this grace period the currency notes will cease to be accepted as legal tender or destroyed under the instructions of The Reserve Bank of India. As a consequence turning most of the unaccountable money into accountable and taxable money.
Here are the numbers. The government provided a one-time window for compliance -- from July 1 black money in india September 30 in -- to those who had undisclosed foreign assets.
Around people declared money worth Rs 4, crore deposited black money in india foreign banks. Thereafter, two more compliance windows were provided by the government - first, under the Income Declaration Scheme IDS in Under this scheme, anyone who had not disclosed their income or assets honestly in the previous assessment year got a chance to disclose it.
In turn, they would have to pay a tax of flat 45 per cent. The other option black money in india the Pradhan Mantri Garib Kalyan Yojana PMGKY launched in Decemberwhich provided an opportunity to declare unaccounted wealth and black money in a confidential manner and avoid prosecution after paying a fine of 50 per cent on the undisclosed income.
It also offered an option of investing an additional 25 per cent of the undisclosed income in the scheme, which would be refunded after four years, without any interest. Demonetisation No concrete outcome achieved.