look news india
The Income Tax Department on Sunday warned taxpayers that they could face a penalty of up to Rs 10 lakh if they do not disclose their foreign assets or foreign earnings in their income tax returns.
This information was given on Saturday as part of the recently launched compliance awareness campaign by the Income Tax Department. The Income Tax Department has warned taxpayers that they will have to provide this information in their income tax returns in the assessment year 2024-25. The IT department further said that taxpayers in India are required to disclose any capital assets such as foreign bank accounts, cash value insurance contracts or annuity contracts, financial participation in any entity or business, immovable property, custodial accounts, equity and debt interest. Is. etc.
The Income Tax Department further said that taxpayers will have to mandatorily fill the Foreign Assets (FA) or Foreign Source Income (FSI) schedule in the ITR, even if their income is not below the taxable limit. The advisory said that non-disclosure of foreign assets or income in ITR can attract a penalty of up to Rs 10 lakh under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.
A message will be sent to those filing IT returns
The Central Board of Direct Taxes, the administrative unit of the tax department, said that under the campaign, messages and emails will be sent to taxpayers who have already filed their ITR for 2024-25. This message will be sent to individuals who have been identified as holding assets or foreign income abroad through information received under bilateral and multilateral agreements. CBDT said the campaign is aimed at reminding those who have not declared foreign assets in their filed ITR (age 2024-25).