Benami properties, black money bounty: Win Rs 5 cr from govt; here is how

Noose around benami transaction and undisclosed black money is being tightened further as the Narendra Modi government completes four years. The government seeks to be in no mood to pardon such offenders, therefore, the Central Board of Direct Taxes (CBDT) has issued instructions, and decided to reward those who come out the requisite information. The valuable informations on benami transactions and black money stashed abroad can fetch you a cash reward of up to Rs five crore. Here are the other details related to this development.

1.If you share "specific information" with the income tax department about any benami transaction or property, you could earn you up to Rs one crore. However, if you share information related to undisclosed black money stashed abroad, you could fetch cash reward up to Rs 5 crore.

2. Under this amended 'Income Tax Informants Reward Scheme', a person can get reward up to Rs 50 lakh for giving specific information about substantial evasion of tax on income or assets in India, which are actionable under the Income-tax Act, 1961.

3. According to the CBDT's Benami Transactions Informants Reward Scheme, 2018, any person, including foreigners, can come ahead to inform Joint or Additional Commissioners about benami transactions and properties which can be tried under the Benami Transactions (Prohibition) Amendment Act, 2016.

4. The CBDT says, "Under the Benami Transactions Informants Reward Scheme, 2018, a person can get reward up to Rs one crore for giving specific information in prescribed manner to the Joint or Additional Commissioners of Benami Prohibition Units (BPUs) in Investigation Directorates of Income Tax Department about benami transactions and properties as well as proceeds from such properties which are actionable under Benami Property Transactions Act, 1988, as amended by Benami Transactions (Prohibition) Amendment Act, 2016." it said.

5. The scheme has been unveiled not only to encourage people to give information but has also assured full confidentiality of the informer for all the reward schemes, stating the identity of such persons will not be disclosed.

7. Sharing information regading any undisclosed black money held overseas under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, the CBDT has stated to give the informer a cash reward up to Rs 5 crore.

8. The I-T department stated that the reward amount for information under the Foreign Black money Act has been kept high at Rs 5 crore to make it "attractive to potential sources" in foreign countries, adding "Under this Scheme, a person can get reward for giving specific information in prescribed manner about substantial tax evasion on income and assets abroad which are actionable under Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015." 

9. Earlier, the government amended Benami Property Transactions Act, 1988, by Benami Transactions (Prohibition) Amendment Act, 2016 to make the law stronger.

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10. In a bid to unearth black money and to reduce tax evasion, the Income Tax Department has unveiled new reward scheme titled "Benami Transactions Informants Reward Scheme, 2018" to seek maximum's people's participation.