Income Tax

Unearthing of Black Money-Prosecution, search, survey initiated by Income Tax Department during the last 3 FYs

Unearthing of Black Money-Prosecution, search, survey initiated by ITD under the relevant provisions of the Income Tax Act, 1961, during the last three FYs

Minister of State for Finance, today,  in written reply to a question in Rajya Sabha has given figures of proceedings initiated by the Income-tax Department against black money .

He stated that the Income-tax Department (ITD) takes appropriate action against black money which is an on-going process.  Such action under the Direct Tax laws includes searches, surveys, enquiries, assessment of income, levy of penalties and filing of prosecution complaints before criminal courts, wherever applicable.

It informed that in view of the limitations of the Income-tax Act, 1961 etc. in dealing with black money stashed abroad, the Government of India enacted a comprehensive and a more stringent new law namely ‘The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015’ that has come into force w.e.f. 01.07.2015. The new Act provides for separate taxation of undisclosed foreign income and assets. Most importantly, apart from providing more stringent provisions for penalty and prosecution, for the first time, this law has included the offence of wilful attempt to evade tax etc. in relation to undisclosed foreign income/assets as a Scheduled Offence under the Prevention of Money-laundering Act, 2002 (PMLA).

As stated by the Minister, the details of prosecution proceedings initiated by the ITD under the relevant provisions of the Income Tax Act, 1961, during the last three F.Y.s are as under:-

Financial Year No. of cases in which prosecution complaints filed Cases compounded No. of persons convicted
1 2 4 5
2015-16 552 1019 28
2016-17 1252 1208 16
2017-18 4527 1621 68

The details of search & seizure and surveys conducted by the Income Tax Department in the last three F.Y.s were stated to be as under:

Search and seizure:

Financial Year Number of groups searched Total assets seized (In Rs. crore) Undisclosed income admitted u/s 132(4) of the Income-tax Act, 1961 [in Rs. crore]
2015-16 447 712.32 11226
2016-17 1152 1469.62 15497
2017-18* 581 997.17 15755

*Figures are provisional

Surveys:

Financial Year No. of surveys conducted Undisclosed income detected (in Rs. crore)
2015-16 4428 9700
2016-17 12520 13690
2017-18 13547 9638

Source: PIB

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