Indian government launches foreign assets disclosure scheme offering conditional immunity
The Indian government just rolled out a special disclosure scheme for people to come clean about specified foreign assets and undisclosed foreign income.
Announced on August 14, the Foreign Assets of Small Taxpayers Disclosure Scheme Rules, 2026, opens August 16 and lets eligible taxpayers file online declarations until December 31, 2026;
after paying the required amount and fulfilling the prescribed conditions, they can receive certification and conditional immunity, subject to statutory provisions.
Scheme: 60% for 1Cr or 1L
There are two ways to disclose:
If your hidden foreign assets or income are up to ₹1 crore, you will need to pay 60% of the value (split equally between tax and penalty).
For certain assets up to ₹5 crore, including those acquired from income earned abroad while you were a non-resident but not reported after becoming resident or acquired from income already offered to tax in India but subsequently omitted from the relevant foreign-assets schedule, a flat fee of ₹1 lakh, subject to the conditions prescribed under the Finance Act, 2026, covers it.
Meet all conditions and you can receive certification of the declaration and, subject to the statutory provisions, immunity from further tax, penalty, and prosecution under the Black Money law.
The asset value is fixed as of March 31, 2026.