New income tax rules with revised guidelines comes in effect from today
CBDT new guidelines says that any offence connected to undisclosed foreign bank account or assets in any manner cannot be compounded.
Revised guidelines of Income Tax and to make strict decision against tax invaders new Income Tax guidelines has came into effect from today, June 17, 2019. These revised guidelines issued by the Income Tax (IT) Department are for those who have made serious offences under black money and benami laws.
Listing 13 cases, where the offences are not to be generally compounded, and also grouping the offences in two parts, the Central Board of Direct Taxes (CBDT) has directed its senior officers to circulate the revised guidelines for compliance by concerned authorities.
• The Central Board of Direct Taxes (CBDT), the apex direct tax policy making body, said in the new guidelines that any offence connected to undisclosed foreign bank account or assets in any manner cannot be compounded.
• India had introduced the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act in 2015 to curb unaccounted wealth kept abroad and to impose tax and penalty on such wealth.
• CBDT also said in the new guidelines that offences linked to any wrongdoing covered under the Benami Transactions (Prohibition) Act 1988 are also not compoundable.
• As per the new rules, a full tax rebate applies for individual taxpayers with a net annual income up to Rs 5 lakh. This means that the income limit eligible to avail tax rebate under Section 87A of the Income Tax Act has been increased from the earlier limit of Rs 3.5 lakh to Rs 5 lakh.
The Central Board of Direct Taxes (CBDT) is a part of Department of Revenue in the Ministry of Finance. The CBDT provides inputs for policy and planning of direct taxes in India, and is also responsible for administration of direct tax laws through the IT Department. The CBDT is a statutory authority functioning under the Central Board of Revenue Act, 1963. The officials of the Board in their ex officio capacity also function as a division of the Ministry dealing with matters relating to levy and collection of direct taxes. The CBDT is headed by Chairman and also comprises six members, all of whom are ex officio Special Secretary to the Government of India.