New Delhi: Finance Minister Arun Jaitley proposed the Income Tax Amendment bill in Lok Sabha on Monday intending to prevent tax evasion by making new savings, after the demonetisation move.
The bill tabled by Jaitley proposed a 30 per cent tax on undisclosed income along with an additional penalty of 10 per cent and also a 33 per cent of surcharge on the same.
Other major highlights of the amendment bill:
- 25 per cent of undisclosed income post demonetisation to be deposited in the Pradhan Mantri Garib Kalyan Deposit Scheme.
- The bill proposes to remove 12.5 per cent excise duty and 4 per cent of special additional duty on manufacturing Point of Sale machines.
- 75 per cent tax and 10 per cent penalty to be levied in case Income Tax authorities detect any unexplained credit in any bank account post note ban decision.
It may be recalled that earlier, it was being said that a minimum of 50 per cent tax might be levied on unexplained bank deposits made using the banned currency notes up to December 30.
The government officials stated that proposing this amendment is a way to punish dishonest people of the country.