Black Money Act
The Black Money (Undisclosed Foreign Income & Assets) and Imposition of Tax Act, 2015 has been introduced with effect from Assessment Year 2016-17. The Act attempts to unearth foreign income or assets owned by Indian residents which are not disclosed or income thereon is not offered in Indian tax returns.
With information on tax payer flowing freely between states/countries due to FATCA and similar Automatic Exchange of Information agreements, the tax department of every state/country is privy to world wide information in respect of its tax payers. This leads to issuance of proceedings in respect of any undeclared foreign assets. This requires due care in filing tax return and disclosing all the foreign assets including overseas bank accounts where the tax payer could be a joint holder or merely a signatory.
It would also be important to disclose beneficial interest in a foreign trust even though the trust is a discretionary trust and there is no determinate share of Indian tax resident. The firm offers services of representing before tax authorities for black money cases including drafting responses to the notices.
We assist entrepreneurs in meeting their goals of expanding the boundaries of business with tax and regulatory advisory services.