The Black Money Act, 2015 requires Indian residents to disclose foreign assets and income in their ITR. Under the Black Money Act, if you have assets or income from foreign sources, you must accurately and promptly file your ITR.
Failure to provide accurate information in Schedule FA can result in a penalty of Rs 10 lakh. Additionally, the individual may face imprisonment for six months to seven years, along with fines. The Mumbai Tribunal, in the case of Shobha Harish Thawani v. Joint CIT, has upheld the levy of a penalty of Rs 10 lakh for each assessment year for non-disclosure of foreign assets in the ITR Schedule FA for the assessment years 2016-17 to 2018-19.
