Warning black money holders of stringent action including imprisonment, Prime Minister Narendra Modi said on Saturday that those with undisclosed wealth, most of which is parked in jewellery and real estate, should come clean.
At a function jewellers organised to felicitate him, Modi said he is aware of people going to bullion merchants with “cartload” of money and a message has to be delivered to them to come clean using the one-time compliance window closing on 30 September.
Stating that people have been jailed in the past for evading taxes, he said the government should not be forced to resort to the same after 30 September.
Aur us paap ko karna nahi chahata hu jo September 30 ko mujhe karna padega. (I do not want to commit the sin which I will have to after 30 September against black money holders).Narendra Modi, Prime Minister
Under the Income Declaration Scheme (IDS) which opened on 1 June, black money holders can come clean by declaring the assets by 30 September and paying tax and penalty of 45 percent thereafter.
The Income Tax department has already identified 90 lakh high value transactions without PAN. As part of the scrutiny, the department will initially issue 7 lakh letters to those who have indulged in such transactions seeking their details.
Referring to the ambitious plan to mobilise idle gold lying with households and temples, the Prime Minister said that since jewellery is used only 2-5 times in a year by holders, it is better loaned to the government for boosting economy.
Unfortunately gold is linked to social status in India... It remains locked as dead money... You can deposit it with the government and take it out when needed. This will boost the country’s economy.Narendra Modi, Prime Minister, India
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