Tax Payers Asked To Declare Foreign Income & Assets By December 31

(MENAFN- KNN India) New Delhi, Nov 20 (KNN) The Chairman of the Central Board of Direct Taxes (CBDT), Ravi Agarwal, has urged taxpayers to disclose their foreign income and assets in their Income Tax Returns (ITRs) by December 31.

This reminder comes as part of the income tax department's efforts to ensure compliance with disclosure requirements, according to a report by Business Standard.

Agarwal highlighted that the tax department receives detailed information on foreign assets through the automatic exchange of information agreements with various nations.

Speaking at the inauguration of the Taxpayers Lounge at the India International Trade Fair (IITF) in New Delhi, he stated,“The basic intent is to remind taxpayers to declare foreign assets. They can file revised returns by December 31.”

The department is actively reaching out to individuals who have not disclosed high-value foreign assets or income, sending reminders via SMS and emails.

The types of foreign assets requiring disclosure include bank accounts held abroad, foreign cash value insurance, financial interests in overseas businesses or entities, immovable property outside India, foreign equity or debt interests, accounts where the individual has signing authority, and other capital assets located abroad.

This initiative follows a recent warning from the tax department, which cautioned that failing to disclose foreign assets or income earned abroad in ITR filings could attract a penalty of Rs 10 lakh under the anti-black money law.

The department aims to ensure transparency and compliance among taxpayers while providing an opportunity to rectify their filings within the stipulated deadline.

(KNN Bureau)

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