Introduction
The scheme is launched by The Government Of India along with The Ministry Of Finance in the year 2016. The main aim of the scheme is to avoid black money in the country by encouraging the people who are having the black money and does not produce in accounting. Pradhan Mantri Garib Kalyan Yojana launched in the year 2016 by the prime minister of India Mr. Narendra Modi.
Under the scheme the people who are having the black money and avoided payment of taxation as income source can pay the amount of black money to the government of total 50% without erasing any questions or the information will be confidential. Under the remaining 50%, the person can get 25% of the amount in written at the time of submission and the remaining 25% of the amount have to invest in various government proposed schemes running across India.
This amount can get weather person after successful completion of 4 years duration. Which means the beneficiary can enjoy the amount of 25% only the total black money projected and the remaining will get at the time of 4 years duration completion.
Details
Under the scheme the candidates who are willing to produce the amount in front of the department of income tax or the government of India had a timeline of December 16 2016 to march 31st 2017 only. The people who are produced the black money in this duration of the period only construct and they can be allowed free without having any prosecution and also can get 25% of the total black money instantly and the remaining 20% can take after 4 years. The amount which the candidate has to produce should be in the form of cash only.
The amount should not be in the form of gold jewelry, immovable assets, stocks or any other forms of deposits. According to the income tax and national survey on income sources of Indian citizens is high and the proper taxpayers among them are very less. More than 60% of the population in India are showing less income sources to get less amount of tax to be paid. This is basically reflecting in the Indian gdp and also slowing down the economical growth of the country. It also tend to anchorage the people towards increasing the black money.
Finally the overall financial market of India is moving to a critical situation due to the non accountability of income by most of the population. To avoid such situation the prime minister of India along with ministry of finance proposed and implemented the scheme which basically encourages the people to come forward for submitting their proper income tax on time.
Properties of the scheme
The scheduled duration given as a provision to the business and other sector population in India who are earning sources are very high to submit there income tax and avail the benefits given by the government of India under the scheme Pradhan Mantri Garib Kalyan Yojana 2016.
As expected a good amount of response from the population, the main focus population are, the businessman who are majorly involved in trade sector, the population who are into the business models which are in service based and there is no proper evidence-based transactions towards the service and the payment. The gold and jewellery merchants who are having earnings at very high level and the returns are in very poor level
And also the population who are individuals earning sources are very high through the various mediums like entrepreneurship, freelancing, brokerage and financial transaction services. From all the above-mentioned sectors are categorised as the very less amount of taxpayers whose income are more than 6 times of their actual tax return submission amounts.
Objective
The main objective of the scheme Pradhan Mantri Garib Kalyan Yojana is to encourage the people to come forward them self to submit their tax declaration on their income with extended benefits. Buy availing whisky benefits, the people who are pay the complete tax amount will get the exemptions like only 50% of the black money will be taken by the government and the remaining 50% will get back by the taxpayer into two different methods.
The first 25% of the money will get instantly and the another 25% of the money the taxpayer have to invest in various government schemes for the period of 4 years, then the taxpayer is eligible to get the money back without expecting any rate of interest on the amount. This allows the people to provide their actual income returns on given duration for avoiding further investigations by the income tax department and proceeding with legal actions towards the black money and skipping of tax payment.
In extension to the scheme benefits there will be no further legal proceedings or cases will be filed on that particular taxpayer. The taxpayer will be free from all kinds of income tax headaches after successful completion of availing the scheme, from the day the completion of tax emissions the taxpayer should be prominent on submission of income tax documents and paying the income tax as well.
Conclusion
The concept is purely for the purpose of illuminating the black money and encouraging the population whoever having the high amount of black money and unable to produce in front of the income tax department due to various legal complications. Under the skin the population can get the benefits and the whole information will be kept secret for lifetime. There will be no further investigation is happened to the particular taxpayer.
As expecting a huge response from the scheme from various sectors in India, the oral benefits and scheme proceedings are expected to close within the duration given and the letter on stages the income tax department will proceed with income tax rates on those taxpayers whoever not avail the scheme benefits on time based on their transactions. By availing income declaration scheme 2016 the people whoever want to produce there additional income source tax return can perform without facing any difficulties. In case of missing the given duration to avail the scheme benefits, based on the transaction performed during the last year to till the date the income tax department will do the income tax rides and take it through the further proceedings.
