(a) whether the Government has made any assessment regarding black money in the country;
(b) if so, the details in this regard;
(c) whether the Government proposes to launch any voluntary disclosure scheme for
disclosure of black money;
(d) if so, the details thereof; and
(e) the other steps being taken to control the black money?
MINISTER OF THE STATE IN THE MINISTRY OF FINANCE (SHRI P. CHIDAMBARAM)
(a) to (e): A statement is laid on the table of the House.
Statement referred to in repEy to Lok Sabha Starred Question No.255 for answer on 8.12.2006
(a) & (b) There is no exact estimate of the amount of black money presently in circufation
in the country. However, at the instance of the Govt., the Nationa! Institute Public Finance
and Policy (NfPFP) had attempted an estimate of black money in the country. According to the
report of the NIPFP, the total amount of black money in the country during financial year
1983-84 was estimated between Rs.31,584 crores and Rs.36,786 crores. Subsequently no fresh
study has been conducted by the Govt. on the amount of black money.
(c) & (d) Presently, there is no proposal to launch any voluntary disclosure scheme for
disclosure of black money.
(e) The Income Tax Department takes several punitive and- deterrent steps to control black
money. These include scrutiny of returns, surveys, search and seizure action, imposition of
penalty and launching of prosecution in appropriate cases. Further, by the Finance Act, 2005,
the Government have introduced two additional anti-tax evasion measures, namely, levy of
Banking Cash Transactions Tax to establish the trail of large cash withdrawals through
banking channels; and, furnishing of quarterly returns of certain deposits as prescribed
under Section 206A of the Income Tax Act.