| Aspect | Details |
|---|---|
| Campaign Name | NUDGE (Non-intrusive Usage of Data to Guide and Enable) |
| Launched By | Central Board of Direct Taxes (CBDT) |
| Objective | To encourage voluntary compliance in income tax reporting, especially focusing on Schedule FA (Foreign Assets) and Foreign Source Income (FSI) disclosures. |
| Key Focus | Improving accuracy of disclosures in Schedule FA and FSI in Income Tax Returns (ITRs), including foreign bank accounts, overseas property ownership, foreign securities, trusts, and foreign-source income. |
| Implementation | Taxpayers are reached via SMS and email alerts to verify, revise, or correct their returns by the end of the following month. |
| Legal Framework | Incorrect or missing disclosures can attract penalties under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. |
| Global Context | Aligns India with international standards of financial transparency amid heightened global scrutiny on cross-border transactions and foreign asset reporting. |
| Technology Use | Leverages data-backed, pre-identified information and technology-enabled compliance strategies instead of immediate legal action. |
| Revision Provision | Taxpayers can revise returns under Section 139(5) of the Income Tax Act, provided it is done within the time limit and before scrutiny proceedings are initiated. |
| Action Required | Taxpayers, especially those with foreign assets or earnings, should check CBDT communications, verify return details on the Income Tax portal, and revise returns if discrepancies are found. |
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