Friday 2 December 2016

NEW CORRUPTION BILL BEFORE THE PARLIAMENT

The Government is now creating a new avenue for corruption through the introduction of the new Taxation  Laws  (Second  Amendment)  Bill,  2016  which  has  been passed  by  the  Lok  Sabha  and  is  under  consideration  with  Rajya  Sabha. The  Bill seeks to  enhance  the  applicable tax  rate  under  section  115BBE  of  the  Income-tax  Act,  1961  (the  Act)  from  existing  30% to  60%  plus  surcharge  of  25%  and  cess  thereon.  This tax  rate  under  section  115BBE proposed  to  be  increased  is only  for unexplained  income  as there were reports that  the  tax  evaders are  trying  to  include  their undisclosed  income  in  the  return  of  income  as  business  income  or  income  from  other sources.  The  provisions of  section  115BBE  apply  mainly  in  those  cases where assets  or cash  etc.  are  sought  to  be  declared  as  ‘unexplained  cash  or  asset’  or  where  it  is  hidden as unsubstantiated business income, and the Assessing Officer detects it as such. This is the area where the corruption starts. It is for the assessing officer to detect it. With my experience with the Income Tax Department (REF:- My autobiography "A FRAUD IN THE INDIAN CONSTITUTION" - With full details part II is under preparation), an Income Tax Officer can be very easily be convinced that there is no unexplained income. If he is not convinced there are authorities above him to get him convined. Since due to the shortage of currency, convincing can be done through the unexplained income readily available with the assessee. Then comes the CAG audit to certify that there is no unexplained income and whatever ITO has done is absolutely correct. Then everything is white....white......White....  

So after the bill is passed everything will be white. What is outside India is already WHITE.
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