Government extends deadline for declaring black money till 30 September

NEW DELHI: The Finance Ministry has extended the deadline for declaring undisclosed foreign income or black money till 30 September. However, assets declared within the 'compliance window' will invite a 30 per cent tax and a penalty of the same amount which can be paid by 31 December.Under the new black money law, which has been passed by Parliament and would come into force from April 1, 2016, the penalty would be much higher at 90 per cent, in addition to a 30 per cent tax on undisclosed foreign assets, while such persons would also face criminal prosecution with a jail term of up to ten years.[caption id="attachment_2265372" align="alignleft" width="380"] Representational image[/caption]"The Central Government has notified the September 30, 2015, as the date on or before which a person may make a declaration in respect of an undisclosed asset located outside India under the compliance provisions of this Act," said the statement."The Act provides for separate taxation of undisclosed foreign income and assets. Stringent penalties and prosecution, including rigorous imprisonment up to 10 years and penalty equal to three times of the tax have been prescribed for violation," the statement added.The new law was passed by Parliament in May and was notified on 26 May 2015 following the President's assent.PTI