Major announcement for tax payers. The Income Tax Department is continuously asking taxpayers to notify them promptly if they have failed to disclose any foreign assets or earnings. In addition, a deadline of December 31, 2024 has been set. Failure to disclose foreign assets or earnings to the Income Tax Department by the deadline could result in serious repercussions for the individual.
What is the potential harm that could occur?
Failure to disclose your overseas assets or income to the Income Tax Department may result in legal repercussions. You could be fined up to Rs 10 lakh for concealing information and in certain cases, you may even be imprisoned.
All the information is possessed by the Income Tax Department.
The Income Tax Department has stated that it possesses data regarding the foreign assets and income of individuals. The Income Tax Department possesses data on financial accounts held by Indians in various countries. The Income Tax Department has stated that hiding income will not bring any advantages in this scenario. As per the Income Tax Department, it possesses details regarding the account holders’ name, address, and tax identification number, also known as TIN. The account number and balance of that account are known by the Income Tax Department. Simultaneously, the Income Tax Department also possesses details regarding earnings such as interest and dividend.
The Income Tax Department gathers data on the total income of taxpayers from all available sources. It also aids in identifying taxpayers who have hidden or failed to reveal details about their overseas assets or income.
