The government has notified the rules for calculating overseas income and assets under the stringent foreign black money law that came into force on July 1.
The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, provides for a total of tax and penalty of 120 per cent on the income or assets held abroad after the expiry of a one-time 90-day ‘compliance window’ provided for persons to come clean.
Any income or asset declared during this period, which ends on September 30, would attract a total of 60% tax and penalty, without penal provisions like jail term.
Those who have assets to declare will have time till December 31 to pay the levies.
The overseas assets which need to be declared include immovable property, jewellery and precious stones, archaeological collections and paintings, shares and securities and shares in unlisted firms abroad.
The value of the overseas assets will be calculated at the fair market value, the rules notified by the Central Board for Direct Taxation (CBDT) has said.
The rules also say that the value of these overseas bank accounts will be the sum of all deposits made to the accounts since its opening.
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