Budget 2012: Steps announced to check black money

To deter the generation and use of unaccounted money, a series of measures have been proposed by the Finance Minister Pranab Mukherjee in the Budget 2012-13 presented by him in the Lok Sabha on Friday.

The measures include:

i) Introduction of compulsory reporting requirement in case of assets held abroad.

ii) Allowing for reopening of assessment upto 16 years in relation to assets held abroad.

iii) Tax collection at source on purchase, in cash, of bullion or jewellery in excess of Rs 2 lakh.

iv) Tax deduction at source on transfer of immovable property (other than agricultural land) above a specified threshold.

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v) Tax collection at source on trading in coal, lignite and iron ore.

vi) Increasing the onus of proof on closely held companies for funds received from shareholders as well as taxing share premium in excess of fair market value.

vii) Taxation of unexplained money, credits, investments, expenditures etc., at the highest rate of 30 per cent irrespective of the slab of income.

(Courtesy, PIB)