Saturday, October 29, 2016

Prohibition of Benami Property Transactions Act, 1988

New ‘benami’ Act to take effect from Nov. 1

NEW DELHI, October 29, 2016

SPECIAL CORRESPONDENT

The Benami Transactions (Prohibition) Amendment Act will come into force on November 1, 2016, the Central Board of Direct Taxes said on Friday

Following this, the existing Benami Transactions (Prohibition) Act will be renamed as the Prohibition of Benami Property Transactions Act (PBPT Act)

“The PBPT Act defines benami transactions, prohibits them and further provides that violation of the PBPT Act is punishable with imprisonment and fine,” the official notification said. “The PBPT Act prohibits recovery of the property held benami from benamidar by the real owner. Properties held benami are liable for confiscation by the Government without payment of compensation.”

Jail term

According to the new law, people caught with 'benami' properties could serve up to seven years of rigorous imprisonment and have to pay a significant fine. Additionally, the properties will be confiscated. Under the Act, a transaction is named ‘benami’ if property is held by one person, but has been provided or paid for by another person.

A person could also face rigorous imprisonment for up to five years for knowingly giving false information and will have to pay a fine of up to 10 per cent of the market value of the property.

The PBPT Act provides for the creation of an appellate mechanism called the Adjudicating Authority and Appellate Tribunal.

“A Joint/Additional Commissioner of Income-tax, an Assistant/Deputy Commissioner of Income-tax and a Tax Recovery Officer… have been notified to perform the functions and exercise the powers of the Approving Authority, Initiating Officer and Administrator, respectively under the PBPT Act,” the statement added.


Also read the related stories

Benami Act provisions to come into force from 1 November

Last Modified: Sat, Oct 29 2016. 01 00 AM IST

Benami Transactions (Prohibition) Amendment Act, 2016 gives the government powers to confiscate benami properties

The bill will replace the older Benami Transactions (Prohibition) Act, 1988

New Delhi: The income-tax department on Friday notified the provisions of the Benami Act with effect from 1 November, reinforcing the fight against tax evasion.

The Benami Transactions (Prohibition) Amendment Act, 2016 seeks to give the government powers to confiscate benami properties—assets held in the name of another person or under a fictitious name to avoid taxation and conceal unaccounted-for wealth.

The bill, which had amended the older Benami Transactions (Prohibition) Act, 1988, got Parliament’s approval in August this year.

The amended Act seeks to remove lacunae in the old legislation and has provisions that make violation of the Act punishable with imprisonment of up to seven years and a fine of up to 25% of the fair value of the asset. It also states that properties held benami are liable for confiscation by the government without payment of compensation.

The term “property” will cover movable, immovable, tangible and intangible properties.

This Act, along with the stringent Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015, to penalize those with unaccounted wealth abroad, will help the government in its fight against black money both within and outside the country.

Safeguard mechanisms such as the adjudicating authority and the appellate mechanism for appeals have also been notified in the rules.


Also view the related link

Benami Transactions (Prohibition) Amendment Act, 2016 (Act No. 43 of 2016) popularly called as "Prohibition of Benami Property Transactions Act, 1988"


Search our Blog here

Google
 

Disclaimer


This Blog Spot is meant for publishing the Ordinance, Act, Bye-laws, Rules being promulgated by the Govt. which are taken from the Renowned Dailies, Periodicals, Magazines, so as to create an awareness to the general public and also to keep it as a ready reckoner by them. So the readers may extend their gratitude towards the ORIGINAL Author as we quoted at the bottom of each Post under the title "Courtesy". Furthermore, the Blog Authors are no way responsible for the correctness of the materials published herein and the readers may verify the concerned valuable sources.



Labels

2010 (1) 2012 (2) 2013 (3) 2014 (4) 2015 (1) 2016 (1) 6th Pay Commission Report (1) A (H1N1) (1) Act (14) Administrative Tribunals (1) ADRM (1) Adult (1) Advocate (3) Age (2) AIMPLB (2) All-India Bar Examination (1) Amendment (5) Andhra Pradesh (2) Announcement (6) Anti-quackery Act (2) Anti-ragging (1) Anti-smoking Act (2) Anti-spam Laws (1) Anticipatory Bail (1) Appointments (1) Arbitration (2) Argentina (1) Arguments (1) Ariankuppam (1) Arrest (2) Article (6) Autonomous (1) Bail (2) Ban (6) Bangalore (1) Banks (5) Bar Council of India (1) Bare Acts (1) Benami Transactions (Prohibition) Act (2) Bill (18) Boilers (1) Borewells (1) Budget (1) Building (2) Bye-laws (1) Cabinet (1) Calls (1) CAT (1) Censor (1) Chemicals (1) Chennai Corporation (1) Cheque (2) Cheque Bounced (1) Child (6) Child Commission Report (1) Child Labour (1) Child Marriage (1) Cigarettes (3) Circulars (1) Civil (1) Civil Judge (1) Climate Change Trust Fund Act 2010 (2) Colleges (1) Companies Act (7) Companies Bill (1) Compensation (1) Constituencies (2) Contempt of Court (1) Coparcenary (2) Corporal (1) Corruption (1) Cosmetics (1) Counterfeit (1) Court (3) Cr.P.C. (5) Credit Card (3) Criminal (4) CTS-2010 cheques (1) Cyber Crimes (1) Damages (1) Debate (1) Debit Card (1) Delhi High Court (1) Delimitation (1) Dhoti (1) Dinamani (1) Direct Taxes Code (1) Directory (1) Distance Education (1) District Judges (1) Divorce (3) Documents (1) Domestic Violence Act (1) Dowry Prohibition Act (1) Dozing (1) Draft (1) Draft Model Tenancy Act 2015 (1) Dress Code (1) Driving Licence (1) Drugs (2) DV Act (1) E-mail (1) Education (8) Elder (1) Election (8) Electronic Media (1) Employment (1) ENT (1) Environment (4) EPIC (1) Evidence (1) Evidence Act (1) EVMs (2) eWaste (1) Exit Polls (2) Fake (1) FAQs (1) Father (1) FDI (1) Fees (1) Female Heirs (1) Films (1) Finance (3) Finance Ministry (2) Fined (2) Food (1) Foreign Investors (1) Frontline (3) Gazette (5) Gift (1) Google (1) Goondas (1) Governor (1) Green Bench (1) Green Tribunal (1) Hawkers (1) Health (2) Health Ministry (4) Heinous Offences (1) High Court (3) High polluted vehicles (1) Hindu (2) Hindu Marriage Act (1) Hindu Succession Act (3) Hindus (3) Home Ministry (1) House Panel (2) HRD (2) ICICI (1) ID Act (1) Illegal Money Lending (2) IMDT Act (1) Imprisonment (1) Income Tax (2) Indecent representation (1) India Corporate Week (1) Indian Kanoon (1) Indian Medical Association (1) Industry (2) Information (3) Inquiry Bill (1) Institute (1) International Arbitration (1) Internet (2) IPC (1) IT Act (1) IT Employees (1) Jail (1) JIPMER (1) Judges (7) Judiciary (5) Jurisdiction (1) Jurisprudence (1) Juvenile Justice Bill (1) Kerala (1) Kidney (2) Labour (4) Labour Department (2) Land Acquisition Bill (2) Landlords (1) LARR Act (2) Law (4) Law Commission (11) Law Courses (1) Law Ministry (7) Lawyers (3) Legal Heir (1) Legal Practitioners Act (1) Legal Practitioners Act 2010 (1) Legislative Council (1) Levy (1) Limited Liability Partnership (1) Littering (1) Lok Pal (1) Lok Sabha (3) Madras High Court (2) Maharashtra (1) Manual Scavenging (1) Manufacture (1) Manupatra (1) Marriage (10) Medicial Certificate (1) Medicine (1) Mercy killing (1) Merger Plan (1) Minor (2) Misuse (1) MMS (1) Mobile Courts (2) Mobile Phone (3) Money (2) Money Laundering (1) Money Lenders Act (1) MPs (1) MS Act (1) Muslim (3) Muslims (1) NASVI (1) National Food Security Act (1) National Green Tribunal (1) National Judicial Appointment Commission (1) National Judicial Council (3) Nationalisation (1) NCW (1) NDNC (1) Negotiable Instruments Act (1) New Master Plan (1) New States (1) NGO (1) Nikahnama (1) Non-CTS-2010 cheques (1) Notifications (3) NRI (1) Nuclear Damage Bill 2010 (1) Nuisance (1) Ombudsman (1) Online Learning (1) Opinion Polls (1) Ordinance (1) Organ Transplant Law (2) P-notes (1) Pakistan (1) PAN (1) Panchayat (1) Parents (2) Parliament (9) Participatory Notes (1) Partnership Act (2) Patent (1) Peeing (1) Personnel (1) Pharmaceutical (1) Phone (3) PIL (1) PIN Number (1) Plantation Labour Act (1) Plastic (1) PMLA Act (1) Police (3) Pondicherry (8) Pondicherry Code (1) Pondicherry Settlement Act (1) Powers of Attorney (1) Pranab Mukherjee (1) President (3) Prevention of Anti-social Activities Bill (1) Private Schools (2) Property Laws (3) Property tax (1) Public Grievances (1) Puducherry Registration of Marriage Bill (1) Puducherry State Universities Bill (1) Punishment (1) Ragging (1) Railway (2) Rajya Sabha (1) RBI (4) Real Estate Act (1) Recruitment (1) Regional SC Bench (2) Registration (7) Regulations (1) Rehabilitation and Resettlement Bill (1) Rent (2) Rent Control Act (1) Repeal (1) Repealing and Amending (Second ) Act (1) Retirement (1) Rights (2) RTE Act (1) RTE Bill (1) RTF Act (1) RTI Act (1) Rules (4) Sachar Commission (1) Sale (1) SAT (1) SBI (1) SBS (1) Scam (1) Schools (3) Screening (1) SEBI (1) Service Tax (2) Sex Scandal (1) Sexual Harassment (1) Sim Card (1) Sleeping (1) Slideshow (1) Smokers (1) Smoking (4) SMS (3) Software (1) Special Marriage Act (1) Spitters (1) Stamp Act (1) State Funding (1) States (1) Street Vendors (1) Succession Act (1) Suicide (1) Supreme Court (12) Swine flu (1) Talaq (1) Tamil Nadu (11) Tax (4) Telangana (1) Tenants (1) The Hindu (3) The Right to Fair Compensation and Transparency in Land Acquisition (2) Tobacco (4) Trade Unions (1) Transport (1) Tribunals (1) TRIPS (1) Trust Act (1) UGC (1) Union Cabinet (1) Universal Civil Code (1) Urban Development (2) Urban Ministry (2) Urinating (1) USA (2) Vacation (1) VAT (1) Vice-President (1) West Bengal (1) Who's Who (1) Wikipedia (4) Women (7) World No Tobacco Day (1) WTO (1) Youth (1) YouTube (1)