Committing to carry forward the fight against black money, Prime Minister Narendra Modi today said that Rs 6,500 crore of undisclosed foreign assets have been declared under the compliance window of the new law and the drive would continue despite its ‘side effects’.

In his address to the nation from the ramparts of the Red Fort on the 69th Independence Day, he said several important steps, including agreements with countries like the US, for real time sharing of information on Indian nationals holding assets abroad have been taken.

Black money law

Also, the government has enacted a new foreign black money law with stringent punishments which some have termed as too harsh that may lead to inspector raj.

“Some of the diseases are dreadful, injection is required. Doctors say the injection may have side effects but that is the only cure. People may see problems (in the new black money law) but that is the only solution,” he said.

Modi said that immediately after coming to power in May last year, the BJP Government had constituted a Special Investigation Team (SIT) on black money and later enacted a Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

Compliance window

The new law provided for a 90-day compliance window ending September 30 to foreign assets holders to declare undisclosed assets, pay a total of 60 per cent tax and penalty to escape jail term of up to 10 years. The tax and penalty on income declared under the window has to be paid by December 31.

“So far, Rs 6,500 crore of undisclosed income has been declared”, Modi said, adding that the money will be used for the welfare of the people.

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