Black money trail: I-T dept signs MoUs for conducting study

NEW DELHI: The government has set the ball rolling for estimating black money by signing agreements with three leading think-tanks NCAER, NIFM and NIPFP to conduct study on unaccounted income generated inside and outside the country.

They have been given 18 months to complete the study and also suggest administrative and legal measures to prevent generation of black money.

The think-tanks would also identify important sectors of the economy in which unaccounted money in generated and examine causes and conditions that result in such unaccounted money.

The other term of reference is "to suggest ways and means for detection and prevention of unaccounted money and bringing the same into the mainstream of economy".

The income tax department entered into MoU with National Council for Applied Economic Research ( NCEAR), National Institute of Public Finance and Policy (NIPFP) and National Institute of Financial Management (NIFM) last week for conducting the study at a total cost of over 7 crore. The study would also estimate the quantum of unpaid tax due to evasion by registered corporate bodies.

The first study on unaccounted money was conducted by NIPFP way back in 1985.