CBDT Launches Campaign To Assist Taxpayers Reporting Assets, Income from Foreign Sources in ITR

Moneylife Digital Team 18 November 2024

Economy & Nation

The central board of direct taxes (CBDT) has launched a compliance-cum-awareness campaign for assessment year (AY) 2024-25 to assist taxpayers in accurately completing schedule foreign assets (schedule FA) and reporting income from foreign sources (schedule FSI) in their income-tax returns (ITR). Compliance with Schedule FA and FSI is mandatory under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, which requires the entire disclosure of foreign assets and income.

As part of this campaign, CBDT will send informational messages via SMS and email to resident taxpayers who have already submitted their ITR for AY24-25. These messages are intended for individuals identified through information received under bilateral and multilateral agreements, suggesting that they may hold foreign accounts or assets or have received income from foreign jurisdictions. These messages are for reminding and guiding taxpayers who may not have fully completed schedule FA in their submitted ITR for AY24-25, especially in cases involving high-value foreign assets.

In a release, CBDT says, "This initiative aligns with the vision of Viksit Bharat and highlights the income tax (I-T) department's commitment to using technology to simplify taxpayer compliance and reduce human interaction. By leveraging data obtained through the automatic exchange of information (AEOI), the department is working to create a more efficient, taxpayer-friendly system."

CBDT expects all eligible taxpayers to take advantage of this opportunity to fulfil their tax responsibilities and contribute to the nation's economic development. "This effort not only is in line with the government's vision for a developed India but also fosters a culture of transparency, accountability, and voluntary compliance."

For a detailed, step-by-step guide on completing schedule FA, taxpayers can visit the official I-T department website www.incometax.gov.in, CBDT says.

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