New Income Tax Authority Setup

The CBDT notified the new Income Tax department authority which will now be empowered to receive due taxes and penalty from those who had availed the one-time compliance window under the latest anti-black money Act enacted by the government.

current affairsWith effect from December 18, 2015 (CBDT) directed that for the purposes of making declaration of undisclosed foreign assets under section 59 of the Black Money (Undisclosed Foreign Income and Assets) and matters related thereto, Shri Rahul Navin CIT (TP)-1, New Delhi shall be the designated Income Tax authority.

The new directive has been issued as Navin’s predecessor in the Transfer Pricing(TP) division, who was in the post when the window was operational, has been posted out as Joint Secretary in the Finance Ministry.

Those who had made the declarations under the window of the new law are supposed to pay the due taxes by December 31.

The government has recently said it has collected Rs 16.69 crore as taxes and penalty till November 26 from those who have disclosed illegal wealth under the black money compliance window.

A total of 635 declarations worth Rs 4,160 crore of illegal wealth were made in the three-month compliance window.

The one-time window provided an opportunity to foreign assets holders to declare such assets, pay a total of 60 per cent tax and penalty and escape stringent provisions of the new black money law. The taxes and penalty have to be paid by December 31, 2015.

The Central Board of Direct Taxes is the policy-making body of the IT department.