Notification of Black Money Rules and Black Money Act

Notification of Black Money Rules and issue of Explanatory Circular for Compliance Window under Black Money Act
 

The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Rules, 2015 (the Rules) have been notified vide notification no. G.S.R. 529 (E) dated 02-07-2015. These Rules provide the method of determination of Fair Market Value of an undisclosed foreign asset. The declaration under Section 59 of the Act may be filed on or before 30.09.2015 in Form 6 appended to the Rules before the designated Commissioner of Income Tax. 

The Commissioner of Income Tax (International Tax)-2, Pratyaksh Kar Bhavan, S.P.M. Civic Centre, Minto Road, New Delhi-110002 has been designated to receive the declarations. The designated Commissioner of Income Tax will inform the declarant by 31.10.2015 whether the competent authority already has any information in respect of the asset(s) declared. The declarant may revise his declaration within 15 days of receipt of the intimation from the Commissioner of Income Tax. The tax and penalty on the value of undisclosed foreign assets declared is required to be paid by 31.12.2015. Upon payment of tax and penalty, the Commissioner of Income Tax will issue an acknowledgement in Form 7 of the Black Money Rules to the declarant. 

Rule 3 of the Rules prescribe the manner in which the Fair Market Value of the assets is to be determined. 

An explanatory Circular on provisions relating to tax compliance has also been issued vide Circular No. 12 dated 02-07-2015. 

The Rules and the Circular are available on the website of the Income Tax Department “incometaxindia.gov.in” under the heading “Tax Laws and Rules”. 

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Repayment of Outstanding Balance of 11.43% Government Stock, 2015 and Government of India-Floating Rate Bonds 2015 on August 07, 2015 and August 10, 2015 Respectively 

The outstanding balance of 11.43% Government Stock, 2015 and Government of India-Floating Rate Bonds 2015 (II) are repayable at par on August 07, 2015 and August 10, 2015 respectively.  No interest will accrue there-on from the said dates. In the event of a holiday being declared on August 07, 2015 and August 10, 2015 by any State Government under the Negotiable Instruments Act, 1881, the Loan/s will be repaid by the paying offices in that State on the previous working day.

      As per sub-regulations 24 (2) and 24(3) of Government Securities Regulations, 2007 payment of maturity proceeds to the registered holder of Government Securities held in the form of Subsidiary General Ledger or Constituent Subsidiary General Ledger account or Stock Certificate shall be made by pay order incorporating the relevant particulars of his bank account or by credit to the account of the holder in any bank having facility of receipt of funds through electronic means. For the purpose of making payment in respect of the securities, the original subscriber or the subsequent holders of such Government Securities, shall submit the relevant particulars of their bank account well in advance.

      However, in the absence of relevant particulars of bank account / mandate for receipt of funds through electronic means, to facilitate repayment of the Loan on the due date, holders may tender the securities, duly discharged, at the Public Debt Offices, Treasuries / Sub-Treasuries and branches of State Bank of India and its Associate Banks (at which they are enfaced / registered for payment of interest) 20 days in advance of the due date for repayment.

Full details of the procedure for receiving the discharge value may be obtained from any of the aforesaid paying offices.

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