Govt further extends deadline for deposits under PMGKY to April 30
Under the scheme, a person will have to pay 30% tax on undisclosed income, a penalty of 10% on the income and a surcharge of 33% on the tax paid --- which amounts to roughly 50% of the wealth.india Updated: Apr 20, 2017 01:45 IST
The finance ministry on Wednesday extended the last date to make deposits under the Pradhan Mantri Garib Kalyan Yojna (PMGKY) to April 30 for those availing the scheme and have already paid tax, surcharge and penalties.
Under the scheme, a person will have to pay 30% tax on undisclosed income, a penalty of 10% on the income and a surcharge of 33% on the tax paid --- which amounts to roughly 50% of the wealth.
Besides, another 25% of the remaining undisclosed amount will have to be deposited in a bank for four years without interest. “This deposit can be made till April end,” an official said.
The Central Board of Direct Taxes (CBDT) had earlier extended the deadline till April 10. The initial deadline was March 31.
Last year, the government had launched the income declaration scheme between June and September. People who opted for IDS had to pay only 45% of their undisclosed wealth as tax. There was no requirement to park an additional 25% in a bank deposit.
Meanwhile, the Income Tax department said that the crackdown on tax evaders would intensify in the coming weeks. “People with black money who have not availed the PMGKY will face serious consequences,” a senior government official said, adding that the department has ample information about tax evaders.