New Delhi: Amid chaos and protests over demonetisation Finance Minister Arun Jaitely on Monday tabled the Income Tax Amendment Bill in the Lok Sabha.
The amendment proposed a 75 %tax and 10 percent penalty in case Income Tax authorities detect undisclosed wealth deposited post demonetisation move by the Centre.
With the amendment coming into effect it will levy fine of 30 per cent in case of disclosure of hidden properties during raids while if any plausible explanation for the properties cannot be explained then it will result in 60 per cent of fine.
The bill gives effect to a new bond scheme for the welfare of the poor called the Pradhan Mantri Garib Kalyan Yojana, in which the money declared will be invested.
Earlier reports said that the unaccounted wealth will bear 50% tax, lock in 25% amount for four years at zero interest, leaving only 25% for immediate use.Changes to the income tax law was approved by Union Cabinet on Thursday.