look news india
income tax return: There is big news for income taxpayers. If you do not disclose your foreign assets and income in Income Tax Return (ITR) filing, you may have to pay a heavy price. In fact, the Income Tax Department has warned taxpayers that if they do not disclose their assets located abroad or income earned abroad in the ITR, they may face a fine of Rs 10 lakh under the Anti-Black Money Act.
The Income Tax Department on Saturday issued a public advisory under the recently launched ‘Compliance cum Awareness Programme’ to ensure that taxpayers file such information in their Income Tax Returns (ITR) for assessment year 2024-25 .
This information must be given
The advisory clarifies that foreign assets for a tax resident of India in the previous year include bank accounts, cash value insurance contracts or annuity contracts, financial interest in an entity or business, immovable property, custodial account, equity and debt interests, trusts This includes the person who is the trustee, the settlor’s beneficiary, accounts with signature authority, any capital assets held abroad, etc.
The department said taxpayers falling under this norm will have to ‘mandatorily’ fill the foreign asset (FA) or foreign source income (FSI) schedule in their ITR, even if their income is “less than the taxable limit”. Or the property is acquired abroad from ‘disclosed sources’.
A fine of up to Rs 10 lakh can be imposed
According to the advisory, “Non-disclosure of foreign assets/income in ITR may attract a penalty of Rs 10 lakh under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.” The Central Board of Direct Taxes (CBDT), the administrative body for the tax department, had said that as part of the campaign, it will send ‘informational’ SMS and emails to resident taxpayers who have already filed their ITR for assessment year 2024-25 Is.
Last date is 31st December
This communication will be sent to individuals who have been identified through information obtained under bilateral and multilateral agreements that ‘suggest’ that these individuals may have foreign accounts or assets, or that they may be deported from a foreign jurisdiction. Income has been received. The last date for filing late and revised ITR is December 31.