The taxation laws (second amendment) bill, 2016

Lok sabha yesterday (29/11/2016) passed taxation laws ( Second Amendment) Bill, 2016

According to the said bill, Persons who have undisclosed income in their hand ( including already deposits in banks, co-operative societies, post office, other entities specified by the Central Government) can sent declaration as undisclosed income before 1st april 2017.

Then such declarant liable to be taxed accordingly:

30%  tax on undisclosed income

10%  penalty on  undisclosed income

33% on such tax, as cess named Pradhan Mantri Garib Kalyan cess

(Totalling to approx. 53.2% of undisclosed income)

The declarant shall have to deposit 25% of the undisclosed income in a Deposit Scheme Named Pradhan Mantri Garib Kalyan Yojana, 2016 . The deposit shall bear no interest and at least for 4 years.

No deduction in respect of any expenditure or allowance or set-off of any loss shall be allowed against the income in respect of which a declaration.

Fund from Pradhan Mantri Garib Kalyan Yojana is used to fulfill the commitment of the government for the welfare of the economically weaker sections of the society.

https://164.100.47.4/BillsTexts/LSBillTexts/PassedLoksabha/299%20c_2016_ls_%20englis.pdf