TMI BlogIncome Tax Informants Rewards Scheme, 2018X X X X Extracts X X X X X X X X Extracts X X X X ..... ntation of the Reward Scheme is issued separately. While the Income Tax Informants Rewards Scheme, 2018 is for public circulation, the Guidelines for Departmental officers is for departmental use. Copy of the revised reward scheme is enclosed herewith. Encl : As above Yours Faithfully, (Syamal Datta) Director Investigation III, CBDT Tele-Fax: 011-23547587 Email: syamal.datta@nic.in INCOME TAX INFORMANTS REWARD SCHEME, 2018 1. Introduction: In supersession of the Guidelines for grant of rewards to Informants, 2007 and other existing guidelines on the subject, the following new reward scheme is hereby introduced for regulating grant and payment of reward to a person who is an informant under this scheme. A person can get reward up to Rs. Five crore by giving specific information about evasion of Income tax on income and assets in India and abroad. Identity of the informant shall be kept confidential. 1.1. Short Title: This scheme shall be called Income Tax Informants Reward Scheme, 2018 . 1.2. Commencement : This scheme comes into effect on the date of issue. 1.3. Scope: This scheme shall regulate the grant and paym ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nv.) concerned. If he appears before DGIT (Inv.)/PDIT (Inv.), they will direct him to appear before JDIT (Inv.) concerned to furnish the information in the prescribed form (Annexure-A). If the jurisdictional JDIT (Inv) considers the information prima facie actionable, the person shall have to submit the information in prescribed format in Annexure A by appearing in person before the JDIT (Inv), when called. In case of any difficulty, the person desirous of giving specific information may contact the PDIT (Inv) of the area. The decision of PDIT (Inv) will be final in the matter of allotment of Informant Code under this Scheme. 4.2. Where a person gives information to an Income Tax Authority other than DGIT (Inv.)/ PDIT (Inv.)/JDIT (Inv.), such person should be asked to contact the DGIT (Inv.)/PDIT (Inv.)/JDIT (Inv.) concerned, and thereafter, the aforesaid procedure, as the case may be, for receiving the information is to be followed by these authorities. 4.3. Where a foreign person wants to give information of undisclosed foreign income/ assets of a person liable to tax in India, he may contact the Member (Investigation), CBDT, North Block, New Delhi-110001 either in pers ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d up to 3% of the additional taxes levied (which is directly attributable to the information furnished by him), under the Black Money (Undisclosed Foreign Income and Assets), Act, 2015, may be granted on statutory determination of undisclosed foreign asset/income following completion of assessment proceedings under sub-section (3) or (4) of section 10 of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, subject to a ceiling of the Indian ₹ 50,00,000 (Rupees Fifty Lakh or five million) to an informant for the information given at a time in a single Annexure A form when the authority competent is satisfied that assessment made is likely to be sustained in appeal and taxes levied are likely to be recovered. 5.1.2. Interim reward for information of undisclosed income/assets liable under the Income Tax Act, 1961: (i) Interim reward up to 1% of the additional taxes realizable, which is directly attributable to the information furnished by the informant, on the undisclosed income detected by the Investigation Directorate under the Income-tax Act, 1961, may be granted subject to a ceiling of Indian ₹ 10,00,000 (Rupees Ten Lakh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... based upon substantially the same facts and has been found eligible for grant of reward under the Benami Transactions Informants Reward Scheme, 2018 as also the Income Tax Informants Reward Scheme, 2018, the total amount of reward under both the schemes taken together shall not exceed ₹ 5,00,00,000 (Rupees Five crore or Fifty million). 5.3.2. Final reward for information of undisclosed income/assets liable under the Income Tax Act, 1961: (i) The maximum amount of reward payable to an informant shall not exceed 5% of the additional taxes levied and realized, which are directly attributable to the information furnished by him, under the Income-tax Act, 1961, subject to a ceiling of Indian ₹ 50,00,000 (Rupees Fifty Lakh or Five million) after the assessment has become final on the issues relevant for determination of reward by appeals, revision etc. (ii) If the informant has claimed reward for giving information of evasion of tax payable under Income Tax Act, 1961, as well as benami properties based upon substantially the same facts and has been found eligible for grant of reward under the Benami Transactions Informants Reward Scheme, 2018 as also the Income Ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llar at the exchange rate prevailing at the time of actual payment of reward. Commission or charges for payment in US Dollar shall be deducted from the gross reward amount granted. 6. Authority competent to grant reward: (i) The authority competent to grant interim reward shall be a Committee consisting of the concerned (i) DGIT (Inv.), (ii) PDIT (Inv.) (iii) JDIT (Inv.). The JDIT (Inv.) concerned shall also act as Secretary of the Committee. Formal sanction order for payment of reward shall be issued by the PDIT (Inv.) concerned. (ii) The authority competent to grant final reward shall be a Committee consisting of the concerned: (i) DGIT (Inv.), (ii) PDIT (Inv.); (iii) PCIT (iv) JDIT (Inv.). The JDIT (Inv.) concerned shall also act as Secretary of the Committee. Formal sanction order for payment of reward shall be issued by the PDIT (Inv.) concerned. The PCIT here refers to the PCIT under whose charge the cases relevant for determination of reward are assessed to tax pursuant to receipt of the report from the Investigation Directorate. Where the cases relevant for determination of reward are assessed across many PCIT charges, the PCIT for the purpose of the Committe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (ix)In respect of incidental or collateral benefit which may arise to revenue in any other case as a result of the information furnished by the informant. 9. Illustrative situations where Informant will not be entitled for reward: (i) In a case where an informant has furnished information pertaining to modus operandi only without any specific information regarding parties involved /assets generated /transactions entered, etc. and pursuant to such information, investigation conducted by Investigation Directorate leads to detection of undisclosed income, the informant will not be eligible for any reward for the information even if the modus operandi is found to be correct. (ii) In a case where an informant has furnished specific information pertaining to bogus expenses/purchase or modus operandi or income or assets, etc. in respect of some persons and pursuant to such information, investigation conducted by Investigation Directorate leads to detection of bogus expense/purchase or modus operandi or income or assets etc. in respect of additional persons also, the informant will not be eligible for any reward in respect of the bogus expense/purchase or modus operandi or i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2005 read with Second Schedule thereof. 12. Grievance redressal: In case of any grievance the informant may contact the PDIT (Inv) concerned who shall take necessary steps to redress the grievance expeditiously. 13. Prohibition on rewarding Government Servants: No reward shall be granted under this scheme to any Government Servant, who furnishes information or evidence obtained by him in the course of normal duties as a Government Servant. A person employed by the Central Government or State Government or Union Territory Government or a nationalized bank or local authority or public sector undertaking, corporation, body corporate or establishment, set up or owned by the Central Government or State Government or Union Territory Government shall be deemed to be a Government Servant for the purpose of this Scheme. 14. Nature of reward and prohibition on litigation/representation: Reward in accordance with this scheme shall be ex-gratia payment, which subject to this scheme, may be granted in the absolute discretion of the authority competent to grant reward. The decision of the authority shall be final and it shall not be subject to any litigation, appeal, adjudication ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erned by the instructions specifically issued by the Government for the purpose from time to time. 18. Meaning of certain terms in this scheme: (i) Additional taxes means Income-tax and surcharge, if any, which is directly attributable to the information given by the informant. It, however, does not include interest, cess, penalty and any other levy/fee imposed or imposable under the Income-tax Act, 1961 and/or the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. (ii) Additional taxes realizabl e means Income-tax and surcharge, if any, which is payable on the amount of income directly attributable to the information given by the informant out of total additional income detected as per Appraisal Report or final survey report or other final investigation report by the Investigation Directorate, over and above income disclosed in the return, if any, filed by the assessee (iii) Authority competent to grant interim reward shall mean a committee consisting of the concerned DGIT (Inv), PDIT (Inv) and JDIT (Inv) (iv) Authority competent to grant final reward shall mean a committee consisting of the concerned DGIT (Inv), PD ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... evasion means evasion of taxes of not less than ₹ 5,00,00,000 (Rupees Five crore or Fifty million) of undisclosed income detected by Investigation Directorates of Mumbai, Delhi, Kolkata, Chennai, Hyderabad, Ahmedabad, Pune or Bangalore and not less than ₹ 1,00,00,000 (Rupees One crore or Ten million) of undisclosed income detected by other Investigation Directorates. If relevant cases are spread across more than one Investigation Directorate, substantial tax evasion means evasion of taxes of not less than ₹ 5,00,00,000 (Rupees Five crore or Fifty million) in aggregate in such cases on undisclosed income detected by Investigation Directorates concerned. (xviii) Undisclosed Income detected by Investigation Directorate means undisclosed income detected on the basis of credible evidence gathered as a result of investigation conducted by the Investigation Directorate, which may lead to sustainable additions/ disallowances having good prospect of recovery of taxes and/or filing of prosecution complaints under Income-tax Act, 1961 and/or Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, and which is reported by Investigating Offic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urnished should be specific, reliable and definite. Additional sheet may be attached, if required): : (a) Nature, source and extent of substantial tax evasion (b) Nature, location and estimated value of undisclosed assets (c) Modus operandi of tax evasion (d) Financial Years to which the tax evasion relates 11. Particulars of information/ documents furnished, if any : (a) In original (b) Copy only 12. (a) Source of information:- Whether the information has been acquired personally in the capacity of an employee, relation or partners etc., of the person mentioned at Sl. 8 above : ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of my/our information. I/we will be entitled to know only feedback and/or update about whether my/our information has been acted upon and, if yes, whether I am/we are likely to get any reward. d) I/we accept that reward would be an ex-gratia payment which, subject to the scheme, shall be ganted at the absolute discretion of the competent authority. The decision of the authority shall be acceptable to me/us and I/we shall not challenge it in any litigation, appeal, adjudication or arbitration. e) In the event of my death before the reward is paid to me/us, it may be paid to my/our nominee(s) whose particulars (along with share) are as under:- Name of Informant Name(s) and address(es) of the nominee(s) Date of birth (in case of minor, name and address of guardian to be given) Relationship with the informant Share of the nominee(s) Aadhar Card No. /Passport No. (attach copy) f) I/we accept that if the information furnished by me/us is found to b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Road, Ahmedabad 380009, Gujarat (ii) Principal Director of Income Tax (Investigation), Aayakar Bhawan, Majura Gate, Opposite New Civil Hospital, Surat - 395002, Gujarat Karnataka (Districts of (i) Bengaluru Urban (ii) Bengaluru Rural (iii) Kolar (iv) Chickballapur (v) Ramanagaram (vi) Tumkur (vii) Dakshin Kannada (viii) Udupi (ix) Uttara Kannada (x) Shimoga (xi) Mysore (xii) Mandya (xiii) Chamarajanagara (xiv) Hassan (i) Director General of Income Tax (Investigation), Cenfral Revenue Building, Queen's Road, Bengaluru- 560001 (ii) Principal Director of Income Tax (Investigation), Central Revenue Building, Queen's Road, Bengaluru- 560001 Goa Karnataka (Districts of (i) Belgaum (ii) Bagalkot (iii) Bijapur (iv) Dharwad (v) Haveri (vi) Davangere (vii) Gadag (viii) Gulbarga (ix) Bidar (x) Raichur (xi) Yadgir (xii) Bellary (xiii) Chitradurga (xiv) Koppal (i) Director General of Income Tax (Investigation), Central Revenue Building, Queen's Road, Bengaluru- 560001 (ii) Principal Director of Income Tax (Investigation), ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or General of Income Tax (Investigation), Aayakar Bhawan, 8th Floor, Basheer Bagh, L.B. Stadium Road, Hyderabad-500004 (ii) Principal Director of Income Tax (Investigation), Aayakar Bhawan, 8th Floor, Basheer Bagh, L.B. Stadium Road, Hyderabad-500004 Odisha (i) Director General of Income Tax (Investigation), Aayakar Bhawan, 8th Floor, Basheer Bagh, L.B. Stadium Road, Hyderabad-500004 (ii) Principal Director of Income Tax (Investigation), Aayakar Bhawan Annexe, Satsang Vihar, Bhubaneswar - 751001, Odisha Rajasthan (i) Director General of Income Tax (Investigation), Central Revenue Building, B.D. Road, Statue Circle, Jaipur - 302005, Rajasthan (ii) Principal Director of Income Tax (Investigation), Cen al Revenue Building, B.D. Road, Statue Circle, Jaipur - 302005, Rajasthan Kerala Union Territory of Lakshadweep Mahe of Union Territory of Puducherw (i) Director General of Income Tax (Investigation), 4th Floor, Aarya Bhangi Pinnacle, Elamkulam, S A Road, Kochi - 682 020, Kerala ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ffamagar (xii) Hapur (xiii) Agra (xiv) Etah (xv) Aligarh (xvi) Auraiya (xvii) Hathras (xviii) Etawah (xix) Farrukhabad (xx) Jhansi (xxi) Lalitpur (xxii) Mathura (xxiii) Firozabad (xxiv) Mainpuri (xxv) Kanshiram Nagar (xxvi) Gautam Buddha Nagar (xxvii) Bulandshahr (xxviii) Chamoli (xxix) Dehradun (xxx) Haridwar (xxxi) Pauri (xxxii) Rudraprayag (xxxiii) Saharanpur (xxxiv) TehriGarhwal (xxxv) Uttarkashi (xxxvi) Kanpur (xxxvii) Shamli (i) Director General of Income Tax (Investigation),Aayakar Bhawan, Annexe, 5Ashok Marg, Lucknow-226001, U. P. (ii) Principal Director of Income Tax (Investigation), Aayakar Bhawan, Civil Lines, Kanpur-208001, U. P. Greater Mumbai and Navi Mumbai (i) Director General of Income Tax (Investigation), 3rd Floor, Scindia House, Ballard Estate, Mumbai - 400 038 (ii) Principal Director of Income Tax (Investigation) -l, 3rd Floor, Scindia House, Ballard Estate, Mumbai - 400 038 (iii) Principal Director of Income Tax (Investigation) - 2, 3rd Floor, Scindia House, Ballard Estate, Mumbai - 400 038 Bihar, Jharkhand (i) Director General of Incom ..... X X X X Extracts X X X X X X X X Extracts X X X X
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