Black Money Current Affairs - 2020
The Union Finance Ministry is planning to launch ‘Project Insight’ from October 2017 to monitor high value transactions and detect tax evaders using technology with a view to curbing circulation of black money.
To implement the project government has signed contract with Information Technogolgy major L&T Infotect Ltd. The project will add to list of efforts made by government to curb black money like Operation Clean Money’ after demonetisation, Income Disclosure Scheme, GST implementation, amendment DTAA with other countries etc.
It will use data mining, big data analytics to scoop out tax evaders from social media platforms to deduce mismatches between spending pattern and income declaration. The linking of PAN (Permanent Account Number) with Aadhaar will be key identifier to be used by IT Department to link and analyse various transactions relating to tax payers.
The integrated information technology platform will help in catching tax evaders in non-intrusive manner using technology and without traditional intrusive methods like search and seizure. It will use technology to allow government collate databases of IT forms, IT returns, TDS/TCS statements and Statement of Financial Transactions received from financial institutions.
Its reporting compliance management system will ensure that third party reporting entities like banks and other financial institutions is timely and accurate. It will also set up streamlined data exchange mechanism for other government departments.
It will also be leveraged for implementation of Foreign Account Tax Compliance Act Inter Governmental Agreement (FATCA IGA) and Common Reporting Standard (CRS). IT Department is going to set up new Compliance Management Centralised Processing Centre (CMCPC) for handling preliminary verification, campaign management, generation of bulk letters/notices and follow-up.
Project Insights will play key role in widening of tax base and data mining to track tax evaders. It will help in catching tax evaders in non-intrusive manner like search and seizure. It will help to promote voluntary compliance and also enable taxpayers to resolve simple compliance related issues in online manner without visiting Income tax office.
Tags: Black Money • Finance Ministry • Income Tax • National • Project Insight
India and Switzerland have signed two Memorandum of Understandings (MoUs) for exchanging technical cooperation in the field of Railways.
They were signed after delegation level talks between Prime Minister Narendra Modi and visiting President of Swiss Confederation Doris Leuthard in New Delhi. They also issued Joint press statement.
- MoU between Konkan Railway Corporation Limited (KRCL) and Swiss Federal Institute of Technology, Zurich.
- MoU between Ministry of Railways and Federal Department of the Environment, Transport, Energy and Communications of the Swiss Federation on Technical Cooperation in Rail Sector.
Key Takeaways of Joint press statement
FDI is a big part of the Indo-Swiss cooperation. Both countries agreed to enhance the business to business cooperation. Both countries are working on new bilateral investment treaty. India thanked Switzerland for supporting for its bid for MTCR and Nuclear Suppliers Group membership.
Switzerland agreed that reforms taken by India will serve good base for expanding cooperation in several areas. Switzerland has accepted automatic exchange of information for transparency in financial transactions with India to effectively combat black money and tax evasion and its parliament is going to pass legislation supporting it by year end. India committed to clean energy and green future and termed climate change as a global challenge.
India and Switzerland have long standing relationship and enjoy robust economic ties. Switzerland is being seventh largest trading partner and eleventh largest foreign investor for India. Both countries share common views on many major global issues.