India’s black money has been one of the top priorities for Indian judiciary system to bring it back and catch the culprits. Indian government is working day and night to bring back the money that the people of India deserve. Every day, a new step is made by government to pace up the process.
Recent reports by media shows that India’s black money fall by 10% (to 1.8 billion or 12.5K crore) in Swiss accounts. Well, this move by Swiss account holders has been in response of the Indian government’s tough actions against Swiss account holders in which Indian government had written a letter to Swiss bank in order to reveal the names of account holders. Recently, Indian government has given a pardon period of 3 months to citizens to disclose the foreign assets and property, failing which they will face prosecution.
Benami Transaction Amendment Bill – Benami bill amendment has changed the definition of benami transaction that deals with the real-estate sector which is very much prone to the birth of black money. The bill actually states that any property that is owned or transferred to anybody, but paid or provided by somebody else. The amendment adds the conditions of unawareness of transaction by owner and transaction by factious person. The bill is under discussion and will surely become a barrage in the way of emergence of money laundering.
Undisclosed Foreign Income and Assets / Imposition of Tax, 2015 – This includes penalty and prosecution according to the norms. Undisclosed foreign assets and income, failure of returning tax leads to the imposition of penalty while a planned evasion from tax or tax payment liability of company will lead to the prosecution against the person
Aadhar – The idea of Aadhar card has made a lot of changes and beams the secure and direct benefit transfer to all citizens decreasing the chances of money laundering. These days, this free service is made mandatory for opening a bank account. Well, this move gives a brief account of a person’s transaction along with the detailed income sources. Real estate sector is also being considered to connect with Aadhar service to check the illegal money transaction in the sector having most chances of bulk money exchange.
Encouraging Online Transactions – The use of online payment facility that is currently provided by all banks and has reduced the efforts and saved time. Well the use of online payment reduces the risk of money laundering and hiding black money. Cash payments has always been simple way of securing black money. Cash transactions can be reduced by imposing upper limit of transaction. Another effective method is withdrawing the currency notes of higher denomination like Rs. 1000 which are mostly used for cash exchange.
Indian government has woven the trap to catch the evaders and strength up the grip over the hidden names. No matter how much time will it take to disclose the details of culprits and bring back the money flooded in foreign banks. Well, it is not simple to bring back that money because high profile people are involved in this deposition.
