Converting Black Money into White. (preventive measures)

dear friend

Its true that india's economy is spoiled by Black Money,  Black money can be convereted into white by donations to PM funds, National emergency fund, Forming educational institutions and trusts.

Dear chirag sir,

Check out this article you will get some hardcorefacts on black Money 

   https://www.atimes.com/atimes/South_Asia/HB11Df05.html



Mentioned about the Money which is lying in Swiss bank , check this article from link:

   https://www.freedomindia.com/01.html





Here are some more links:

   https://cvc.nic.in/vscvc/cvcspeeches/sp16jan02.pdf

    https://www.mail-archive.com/do-asia@.../msg00027.html

Get to a jeweller. Give him the amount you want to convert into white as cash. he would give you a cheque back for the same amount less 4%. he would give you a purchase bill to show that you have sold jewellery to him. On the amount of the cheque when you file your returns you will have to pay capital gain tax. there you go , the money is white now.. HOW?? SOURCE OF INCOME IS SALE OF JEWELLERY.

well you need such money for fradulent transactions,bribe,etc. Like if you want to get a medical/engineering seat you have to pay something for which no receipt is given.the something amount you pay cannot be shown officially because the giver and taker both will face government problemit is not possible to convert all the black money into white money except when the government announces special schemes wherein one will pay some tax and convert the rest into white

now a days usual money is called black as everyone have a lot of stuff in their hands.. how it will convert in to white..ok take this.. u are buying a land worth 20 lakhs but you insist in buying it on 40 .. take in to account that you have 1 crore of black with you.. you show goevernment that you bought that land for 1 crore.. with a loss of 20 lakhs , remaining 80 is converted into white!!!! (with a land worth 20 in your hand)

Here's an indepth article about Black Money in India....



Black money is not a synonym for the cash economy. For instance, there are several transactions which have to be carried out in cash: Municipal tax, passport fees, purchase of government stamp paper, opening a bank account.



How did the first black money become black? Like all money, it started life in a sarkari mint, all spruced up and spiffy. Face and knees well scrubbed, shoes shined, laces knotted neatly, it got a valedictory pat on the head from the RBI governor and was sent out to make its way in the world. So where and how, after this immaculate conception, did it suddenly become black? Nagarwala? Bofors? Sukh Ram? Who dat?



There's another problem with black money. It's like a chameleon. It keeps changing colour. Suppose X, who has black money, goes and spends some of it having a meal at a 5-star eatery. All at once, X's black money becomes the eatery's white money. Better than Fair & Lovely.

This changeability of complexion suggests that, at some point, all the money in supply was or will be black, and vice versa. So is the only way to get rid of black money to get rid of all money and replace it with cheques and credit cards? The next time you flog a year's collection of old STOIs to the raddiwala ask for payment via Amex.

https://timesofindia.indiatimes.com/artic...

Black money refers to moneys,properties etc which are held and enjoyed by persons who do not account for it under Law,escaping tax liability on the same.Examples of such black money can be found in benamy transactions in sale/purchase of properties.Also various trade malpractices resulting in suppression of income earned can accumulate black money.Physical money hoared in bank vaults,whose source is hidden can be one more instance.Conversion of black money into white money takes place when someone owns that money as his own showing it as earned by him or when someone documents that he has given a loan .usually traders,realestate peiple and big business people. hoard money,resulting in black money.

Article source: https://www.thecommercejournal.com/India-Taxes/110647.htm

Thanks Shree and Kavi for sharing such an valuable information and for your time .

Thanks alot.

Regards..

Adv. Chirag Shah

well Mr. Shree has provided the info in abundence and have answered the question beauifully...i personnaly thank him..

the information is really of immense importance

Hi Shree

Thank you for good informatation!

The information is nice. But who is going to prevent black money conversion. The politicians have deliberetely kept loopholes in the tax legislations.

thanks

Thank you.. Thankyou very much...

Very good supportive efforts by all members..

Keep on helping and sharing views.

 You expect Netas to bring back their BLACK money to India? What a noble thought!

We cannot convert all the heavy lots of black money into white all of a sudden. First of all the govt should introduce a scheme to get heavy revenue thru taxes in the shape of VDIS. The scond step should be to intoduce tight measures to control the growth of black money from today. I can suggest some measure to be introduced by Govt of India

1.Abolish Threshold limits of income for levying Taxes

2.Every person earns should be taxed.

3.TDS must be collected or deducted  and should be remitted

4.Abolish all types exemptions,deductions and releifs

5. Reduce taxes to the maximum levels

6.Steps to be taken to get taxes from all the obligatory persons and institutions

7.Because of State govt  non cooperation in collecting the central taxes,the central are not reaching expected levels of collecting tax revenue. The central must  introduce incentive measures in granting and sharing central taxes with the states

Does WE include Netas, babus, contractors? If so, forget it.

dear co memebers,

agricultural income is tax free become farm land owner or partner with farmers, examples you can show to government you have farm land in gujarat and you are growing m.p wheat or delhi rice there and earning as much zero's as u wish and making your black white.

I AM ALSO FARMER.

REGARDS

ABBAS

Netas, Babus and contractors are happy with black money. Where is the question of converting it into white? Even if they have converted white money, donee wont accept it by cheque. Do you think medical colleges charging 50 lacs as donation/capitation fee accept the cheque?

Black money runs a parallel economy where the distinction between white and black is obliterated. As long as RBI currency notes come into the kitty, why should one bother? Hush money can't be paid in white so black money is a necessity.