Narendra Modi Government at the Centre has announced the Benami information award as a move to encourage people to give valid information about illegal transaction and properties.
On Friday, 1st June 2018 The Central Board of Direct Taxes (CBDT) announced Benami Transactions Informants Reward Scheme, 2018.
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Under this Benami Transactions Informants Reward Scheme, 2018, Whistleblowers can earn up to Rs. one crore, while the same for undisclosed black money kept abroad could bring up to Rs. 5 crores.
The informer has to give information to Joint or Additional Commissioners of Benami Prohibition Units (BPUs) in Investigation Directorates of Income Tax Department.
In his budget speech, the finance minister Arun Jaitley reiterated that benami transactions and benami companies will be closely monitored.Even PM Modi also in one of his speeches last year said that Aadhaar number would be used to track benami property.
Not only Indians even the citizens of foreign countries will also be eligible for such reward. But for the safety and security of the informer government with maintain the strict confidentiality and never expose the identity of the informer.
The information provided under the reward scheme must be actionable under Benami Property Transactions Act, 1988 which was amended as the Benami Transactions (Prohibition) Amendment Act, 2016.
Often Benami property is bought by an individual or an entity under the names of other. It is done to escape the taxman and payments are usually done out of undisclosed sources of income of the buyers.
