By Shailesh Yadav
Government sources told ANI that the Central Board of Direct Tax (CBDT) “Nould the Campaign” achieved significant results with the announcement of foreign assets of over Rs 29,000 crore with 30,161 taxpayers.
According to sources, 24,678 taxpayers reviewed their ITRs and 5,483 taxpayers, which filed a return for 2024-25, with a foreign assets worth Rs 29,208 crore and additional foreign income Rs 1,089.88 crore.
In addition, 6,734 taxpayers revised their residential status from resident to Nivasi.
Overall, about 62 percent of the nude taxpayers responded positively, voluntarily modified their ITRs to declare foreign property and income.
The number of taxpayers revealing foreign assets and income on voluntary basis AY has increased from 60,000 to 2,31,452 taxpayers to 2,31,452 taxpayers in 2021-22 to 2,31,452 taxpayers. This year, due to comprehensive outreach and awareness efforts, the evaluation of voluntary revelations saw a significant 45.17 percent increase compared to the year (AY) 2023-24.
In September 2024, India received financial information from more than 108 countries about foreign accounts and income in the form of interest and dividend earned outside India.
Using this data received under the automatic exchange of information, the Central Board of Direct Tax (CBDT) launched a compliance-cum-awareness campaign on November 17, 2024, urged taxpayers to announce the evaluation year (Ay) 2024-25 in revised ITRs.
The campaign followed a system-operated and taxpayer-friendly approach using the information received through CRS and FATCA.
The Income Tax Department (ITD) provided taxpayers’ convenience by providing taxpayers to help in understanding the information obtained under these framework as well as filling foreign property and foreign source income as well as a step-by-step guide.
As part of the campaign, SMS and email were sent to 19,501 taxpayers with a high foreign account remaining or significant foreign income from interest or dividend above a specified range.
This communication requested taxpayers to amend their Income Tax Return (ITRS) to correctly reflect their foreign property and income.
Additionally, 30 outreach sessions, seminars and webinars were held across India, which directly attached more than 8,500 participants. Pamphlets, brochures and wide constitutions carried forward on social media.
Government sources said that the trust is the first approach of the trust at the center of this campaign, which gives priority to voluntary compliance on enforcement. Instead of immediate verification or infiltrated functions, the department has previously trusted taxpayers, giving them enough opportunities to make their foreign income and assets correct and complete.
he/she said that by promoting transparency, education and cooperation, the initiative has strengthened the atmosphere by compliance, ensuring that taxpayers can continuously fix their filing before any formal verification measures start.
A source said, “It is an important step in strengthening India’s tax compliance structure by maintaining impartiality and encouraging responsible financial revelations towards a collaborator and trust-operated approach.”
India is one of the initial adopts of general reporting standards (CRS) and is receiving the calendar from 2018 and after the data after 2016.
More than 125 countries have agreed to share the financial information of individuals associated with other courts on automated basis, including details of accounts kept, account balance, dividends, interest, and gross payments.
A similar exchange is according to the Foreign Account Tax Compliance Act (FATCA), 2010 under the Inter-Governmental Agreement with the US.
