The Union Cabinet on Tuesday approved a Bill to deal with cases relating to black money stashed away overseas.

The Undisclosed Foreign Income and Assets (Imposition of Tax) Bill provides for a penalty of up to 300 per cent of tax amounts evaded, in addition to 10 years’ rigorous imprisonment. The Bill proposes mandatory filing of returns for owners or beneficiaries of foreign assets. Failure to make the disclosures is punishable with a jail term of seven years.

Finance Minister Arun Jaitley had announced that the Bill would be introduced in the current session of Parliament while presenting the Union Budget. The first leg of the Budget Session is scheduled to end on Friday.

The Finance Minister had announced a new and more comprehensive Benami Transactions (Prohibition) Bill, which too will be introduced in the session.

He proposed to amend the Income Tax Act to prohibit “acceptance or payment” of an advance of Rs. 20,000 or more in cash for buying immovable property.

Source: TH