The Centre is not extending the window for declaration of black money assets held abroad beyond September 30, said V. Anandarajan, Joint Secretary, Central Board of Direct Taxes (CBDT), Ministry of Finance at an ASSOCHAM event held on Tuesday.
V. Anandarajan said at an ASSOCHAM event on black money that he expected plenty of voluntary disclosures in the last week as it happens even in the submission of income tax.
On the issue of accidental discovery of funds abroad left by parents or as part of beneficiary funds, the Ministry official pointed out that the criminal liability was the same as in the provision of such discovery in the Income Tax Act (IT). In any case the Government has kept a threshold limit of Rs 5 lakhs for such accidental discovery that will not be penalized, added Anandarajan.
Describing the Black Money legislation as a "pretty touch Act", Anandarajan said that the window was provided specifically due to this. He assured that the there would be no witch hunting, no fishing expedition, and very senior officers would be dealing with the implementation to avoid any misuse.
"The provision for confiscation of discovered black money and assets abroad would be the same as in the Prevention of Money Laundering Legislation. He pointed out also that the purpose behind the legislation was not so much to increase revenue but to get back what was denied to government so far and ensure a healthy compliance environment with the law", said Anandarajan.
On the question of black money generated domestically and in the country, the Anandarajan said the legislation was with the Parliament and the separate law for this would come into force when it is passed by it. He recalled in answer to several questions that penalties envisages under the black money law were similar to penal actions stated in several other legislations also. "If the affected party claims that he was not aware of an account opened by abroad, this could not be conceded".