The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015
Administered Ministry: Ministry of Finance / Department of Revenue
Act details
| Short title | The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 |
|---|---|
| Long title | An Act to make provisions to deal with the problem of the Black money that is undisclosed foreign income and assets, the procedure for dealing with such income and assets and to provide for imposition of tax on any undisclosed foreign income and asset held outside India and for matters connected therewith or incidental thereto. |
| Act number | 22 of 2015 |
| Act year | 2015 |
| Enactment date | 26 May 2015 |
| Ministry | Ministry of Finance / Department of Revenue |
| Department | Department of Revenue |
| Jurisdiction | Central (Parliament of India) |
| Sections | 88 |
| Status | Not repealed |
| Last checked on India Code | 28 Oct 2026 |
| Source | India Code, Government of India |
Summary
Summary of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015
Key Provisions
1. Taxation and Penalties
• Tax Rate: 30% on undisclosed foreign assets.
• Penalty: 100% of the tax charged for non-compliance.
2. Declaration Process
• Eligibility: Applies to persons with undisclosed foreign assets from income taxable before April 1, 2016.
• Procedure: Declaration to be made in a prescribed form with verification.
3. Payment Consequences
• Deadline: Tax and penalty payment notified by the Central Government.
• Non-Compliance: Declaration nullified if payment missed.
• Refund: No refund for tax paid under this Act.
4. Tax Implications
• Exclusion from Income: Declared assets excluded from total income if paid on time.
• Assessment Finality: No reopening of assessments or set-offs allowed.
5. Exemptions and Non-Applicability
• Persons Under Detention/Criminal Proceedings: Act does not apply.
• Wealth Tax: Exemption for declared assets under certain conditions.
6. Offences and Prosecutions
• Penalties for Non-Filing/Evasion: Rigorous imprisonment and fines.
• Limitation Period for Penalties: Specified.
Legislative history
Legislative History:
The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015
Short Title The Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015
Act Number / Year Act No. 22 of 2015
India Code Act ID 201522
Presidential Assent Date May 26, 2015
Enforcement Date July 1, 2015
Nodal Ministry Ministry of Finance
Precedent & Statutory Rationale
1. Addressing Limitations of Domestic Tax Laws in Cross-Border Cases:
o Prior to 2015, prosecuting and taxing undisclosed foreign assets relied entirely on the Income-tax Act, 1961, which suffered from procedural limitations, insufficient asset-valuation mechanisms, and lenient penalty frameworks that failed to deter cross-border capital flight.
2. Curbing Untaxed Wealth and Enhancing Global Compliance:
o Grounded in national economic policy commitments to unearth illegally acquired wealth stashed abroad, recover lost tax revenues, and establish a stringent legal deterrent against offshore tax evasion.
Parliamentary Trajectory & Enactment
• Formulation: Developed and piloted by the Ministry of Finance under the direction of Finance Minister Arun Jaitley.
• Parliamentary Passage: Introduced in the Lok Sabha as the Undisclosed Foreign Income and Assets (Imposition of Tax) Bill on March 20, 2015; debated and passed by the Lok Sabha on May 11, 2015, and subsequently passed by the Rajya Sabha on May 13, 2015.
• Presidential Assent: Received formal Presidential Assent on May 26, 2015, entering the statute book as Act No. 22 of 2015.
• Enforcement: Brought into active operational force on July 1, 2015
• Source: India Code Official Repository and Ministry of Finance Official Records