Posted by New Delhi: With the 2019 Lok Sabha elections inching closer, the Narendra Modi-led NDA government has a lot of gaps to fill, especially in upholding its promise to achieve a cleaner, transparent economy by eradicating black money. Soon after coming into power in 2014, top officials from the government have reiterated their focus on curbing black money circulation.
However, even after a string of gargantuan steps including demonetisation, several black money trails have been discovered. Now the government is planning to ramp up efforts to crack down on black money, but this time it is mulling to develop a system that can track each and every electronic payment transaction, suggested a TOI report.
The new move is being planned to identify cases of black money through a trail of transactions. Currently, the government and the Reserve Bank of India are discussing the prospect of putting in place a search engine or database of each and every payment transaction in the country to identify money trails and track black money. The report added that the new system will also help in identifying money laundering cases and operations of shell companies.
It is worth mentioning that cases of money laundering still continue to occur, despite the government’s assurance that demonetisation will put such activities to rest. However, a report recently the money parked by Indians in Swiss banks grew over 50 per cent has popped many questions on the matter of black money, money laundering; on the other hand, the Nirav Modi scam where shell companies were used to route money is another example that government’s efforts to curb such instances has fallen short.
However, the government now plans to strengthen its systems to crack down on such illegalities, with an added focus on corporate data but it would also store data on individuals as well. Under the proposal, the government wants RBI to erect a platform where data of all non-cash transactions will be collected and shared as per requirement, adds the report based on a statement from a government official.
Despite the fresh proposition, tracking down black money can prove to be a tricky task for the investigative agencies as there are several tricks that can evade an automated system. Some officials have said that it is practically impossible to curb all black money operations in the country but the government is hopeful to throw its final dice with regards to curbing black money and money laundering.
Recently, the Income Tax Department had floated a scheme, titled Income Tax Informant reward, where an informer giving authentic details about black money transactions, money laundering and income tax evasion would be eligible to get up to Rs 5 crore. With the move, the government expects to engage the public in its mission to crack down on all illegal money-related activities. However, it remains to be seen if the addition of the new system would have an added impact on curbing black money.
Source:- timesnownews
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