It also has a database tracking inward payments from exports as well as advance payments made for imports. SIT wants RBI to allow investigative agencies to access its three databases as it looks to crack down on under-invoicing of trade bills to channel black money. Curbing black money was a major electoral promise of the NDA, which came to power in May 2014. Since coming to power, the Narendra Modi-led government has enacted a stringent law to curb foreign black money known as the black money (undisclosed foreign income and assets) and imposition of tax act. It also recently enacted the benami transactions prohibition bill to curb generation of black money within the country.

Source: Mint September 05, 2016 09:45 UTC