Overview
- SMS and email advisories began on November 28 to an initial cohort of about 25,000 high‑risk taxpayers to review and revise AY 2025‑26 returns by December 31.
- Cases were identified from FY 2024‑25 Automatic Exchange of Information feeds, with analytics highlighting gaps in Schedule Foreign Assets and Foreign Source Income reporting.
- Authorities plan to widen the drive from mid‑December and are enlisting large employers, ICAI and industry bodies to raise awareness of mandatory foreign‑asset disclosures.
- Non‑disclosure can trigger a Rs 10 lakh fine plus 30% tax and up to a 300% penalty on tax under the Black Money Act, with non‑compliant cases flagged for possible scrutiny and verification.
- The first NUDGE in November 2024 led 24,678 taxpayers to disclose Rs 29,208 crore in foreign assets and Rs 1,089.88 crore in foreign‑source income, and subsequent probes assessed about 1,080 cases with demands near Rs 40,000 crore and searches in Delhi, Mumbai and Pune.