ITR: 30,161 Taxpayers reported foreign assets and income of Rs. 29,208 crores and Rs. 1,089.88 crores in AY 2024-25

The Ministry of Finance has made a revelation in which a total of 24,678 taxpayers reviewed their ITRs and 5,483 taxpayers filed their belated return for the A.Y. 2024-25, reporting foreign assets valued at Rs. 29,208 crores and additional income of Rs. 1,089.88 crores as foreign income.

Due to intiatives of government, substantial growth of taxpayers has been seen, in AY 2024-25 who in their ITR reported their foreign assets and income. A total of 2.31 lakh taxpayers have reported their foreign assets and income in AY 2024-25, witnessing growth of 45.17% over 1.59 lakh taxpayers in AY 2023-24.

MOF released a press release amid media reports suggesting increase in money deposited in bank accounts of Indian entities in Switzerland. In this context, the Government stated that in order to combat the problem of offshore tax evasion, tax jurisdictions cooperate among themselves and share relevant information about financial assets held by the citizens of other countries in their tax jurisdiction. As a part of such mechanisms, India regularly receives information about such foreign accounts and assets from 100+ tax jurisdictions. India also receives information about foreign assets and income being maintained in Switzerland, through different mechanisms of exchange of information.

It was further stated by the MOF that Switzerland has been providing annual financial information about Indian residents since 2018 under the Automatic Exchange of Information (AEOI) framework. The first data transmission to Indian authorities occurred in September 2019, and the exchange has continued regularly since then, covering even those accounts suspected of involvement in financial irregularities.

The Central Board of Direct Taxes (CBDT) regularly undertakes a systematic review of data so received and identifies taxpayers, whose cases require further verification. Such verification is carried out through different modes, including search and survey actions, open enquiries, etc.

For AY 2024-25, CBDT compared the data shared under AEOI with the information about foreign assets and income filed in the ITRs by the taxpayers, for the purpose of verification.