All deposits in Swiss Bank are illegal is shaky presumption, says Arun Jaitley

Arun Jaitley in his blog today attacked opposition and others who are targeting government over the rise of deposit by Indians in Swiss National Bank (SNB). "A news item has appeared today indicating an increase of money by ‘Indians’ in the Swiss banking system. This has led to misinformed reaction in certain circles raising a query whether the Government’s anti-black money steps have yielded results", he wrote. 

"To assume that all the deposits are per se tax evaded money or that Switzerland in the matter of illegal deposits is what it was decades ago, is to start on a shaky presumption," he added. 

Arun Jaitley informed that Switzerland has amended its domestic laws involving all disclosures and entered into a treaty even with India and real time flow of information with regard to Indians will be made. "The flow of information is starting in January, 2019. Any illegal depositor knows that it is a matter of months before his name becomes public and he will be subjected to the harsh penal provisions of the Black money law in India', he wrote. 

Arun Jaitley also informed that India’s tax to GDP ratio in four years has increased by almost 1.5 per cent. On the contrary, a large number of taxpayers in each of the four Budgets of the present Government has benefitted from relief given. 

"Today a medium-term assessment of the impact of these steps can be made. In four years, the number of assesses has increased by 64.6%. The total number of returns filed was 6.86 crores in FY 2017-18. The number of new assesses who filed returns in FY 2017-18 were 1.06 crore. I hope that the percentage increase when the Government completes its first five years would be significantly higher. The total income tax collection for the year 2017-18 is Rs.10.02 lakh crore, a four year increase of 57%. Last year, despite formidable economic challenges, the income tax collection managed to grow by over 18 per cent", he wrote. 

Jaitley further said, " The first big news for this year is that the advance tax deposit during the first quarter of this year has seen a gross increase of 44% in the personal income tax category and 17% in the corporate tax category". 

"Last year, the impact of the GST on direct tax collection was not visible. Since GST had been imposed in the middle of the year, it will be more apparent this year," he said.