Undisclosed Income—UPSC Daily Important Topic | 29 July 2022

Undisclosed Income—

✓It is the income which the assessee has not shown in his Income Tax Return and thereby not paid income tax on it.

✓It may include:

any money, bullion, jewellery or other valuable article or thing or any income based on any entry in the books of account or other documents or transactions, which has not been or would not have been disclosed for the purposes of Income Tax.

✓Finance Minister’s Report:

∆Assessments have been completed for 368 cases, raising tax demand of Rs 14,820 crore under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

∆648 disclosures involving undisclosed foreign assets worth Rs 4,164 crore were made in the one-time three months compliance window, which closed on 30th September 2015, under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

∆Amount collected by way of tax and penalty in such cases was about Rs 2,476 crore.

‘Locational banking statistics’ of the Bank for International Settlements (BIS) showed a fall of 8.3% during 2021 in deposits by Indian individuals in Swiss banks.