The Income Tax Department of India has announced New Benami Transactions Informants Reward Scheme, 2018. The objective of the scheme identify benami properties across the country and the IT department will reward the person who give information on the benami property with up to 1 crore rupees.
New Benami Transactions Informants Reward Scheme, 2018: Provide information on the benami property and get up to Rs. 1 crores.
The government has identified that the black money is used in buying benami properties (properties by the names of the relatives or friends). Such benami property is used to generate income and more over income tax is not paid on the income by the benami property owner. The IT department has decided to take help of people of India to identify such benami properties and their owners. The IT department will then take an action on the benami property and their owners and if the information given by the informant is found valid then the informant will be rewarded with up to 1 crore rupees. The act was first introduced in 2016 called as Benami Property Transactions Act, 1988, by Benami Transactions (Prohibition) Amendment Act, 2016. The informant name and details are kept secret. Foreigners too can provide details of the India`s benami properties as well
New Benami Transactions Informants Reward Scheme, 2018: Procedure to provide information on the benami properties
STEP 1: Go to the nearest Joint Commissioner of Income TaxiAdditional Commissioner of Income Tax (Benami Prohibition) office. CLICK HERE to find the list of JCIT/Addl. CIT (BP)
STEP 2: You will be given form and you need to provide specific details on the benami properties and their owners
STEP 3: Sign the form and submit it in the same Joint Commissioner of Income TaxiAdditional Commissioner of Income Tax (Benami Prohibition) office
STEP 4: You will be given ‘Informant Code’ to keep your name and details secret
Foreigners too can inform about the benami properties of Indians abroad. They can contact the Member (Investigation), CBDT, North Block, New Delhi-110001 either in person or by post or by a communication at email id email@example.com with a copy to firstname.lastname@example.org for further action. They can also take assistance of Income Tux Overseas Units (ITOU).
When reward is granted, amount and stage?
- Interim reward: 1% of the fair market value of the benami properties informed. This amount is given with in 4 month of informing benami property
- Final reward: Upto 5% of the market value of the benami property. This amount is given within 6 months of confiscation of the benami property
- Maximum reward amount is Rs. 1 crore
- The reward will be given in rupees or dollars via all the money transfer mode except for cash
Who can be benami property informer:
- Any one who has reliable information on benami property and its owners details
- Any person residing in India or abroad
More Details & References:
- Central Board of Direct Taxes / Income Tax Department official website: incometaxindia.gov.in
- Benami Transactions Informants Rewards Scheme, 2018
- Income Tax Informants Rewards Scheme, 2018
- Application form for informing benami property under New Benami Transactions Informants Reward Scheme, 2018
- List of Joint Commissioner of Income TaxiAdditional Commissioner of Income Tax (Benami Prohibition) offices
- Guidelines for Grant of Reward to Informants leading to Recovery of Irrecoverable Taxes, 2015