The government, in order tighten the grip around offshore tax-evaders, have proposed that concealment of offshore assets worth above Rs100,000 would be deemed an offence punishable with imprisonment up to seven years or fine up to 200% of tax evaded amount or both. Names of individuals, who have evaded tax worth above Rs. 2.5m, will also be published in media.
The amendments are in line with the Financial Action Task Force recommendations and will be made part of the Finance Act 2019 after approval from the parliament. Company’s and individual’s involved in aiding in tax evasion via offshore companies will also be fined Rs. 5m or jailed for seven years or both.