The high-level committee headed by Central Board of Direct Taxes (CBDT) chairman to suggest ways to strengthen the country’s laws in order to curb the generation of black money discussed on Thursday the possibility of declaring tax evasion a criminal offence.
Currently tax evasion is considered as a civil offence. This was the first meeting of the committee formed under the pressure of Baba Ramdev’s campaign on black money. The committee will recommend changes in law to prevent illegal transfer of black money abroad and how it could be recovered.
The committee also decided to seek public comments on ways to unearth black money. The committee could set up an e-mail ID where experts could send their views. The committee wants experts from the banking and financial service to send their responses to bring out an effective recommendation.
The committee is expected to meet again in seven to 10 days times.
Besides the campaign by the civil society, the Supreme Court has also called for a stern action against the people involved in the generation of the black money. The Supreme Court observes early 2011 that it amounts to “pure and simple theft of the national money. We are talking about a mind-boggling crime, not niceties of various treaties...This is plunder of the nation”.
The government has also set up another committee to suggest ways to trace tax defaulters, reveal their identity to the public and recover taxes.