Important Facts For Prelims (22nd May 2019)

• 22 May 2019

SC Vacates Stay on Retrospective Applicability of Black Money Law

The Supreme Court (SC) recently vacated a stay, put by the Delhi High Court, on the retrospective applicability of Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

Key Points

• The Delhi High Court order had held that the 2016 black money law cannot be allowed to operate with retrospective effect from July 2015 to book and probe offenders.
• The Act was enacted in 2015. It was mentioned in the Act that it will come into effect from April 1, 2016.
• However, on July 1, 2015, the government issued a notification in exercise of its powers under Section 86 (Power to remove difficulties) of the Act, changing the date of commencement of the Act to July 1 2015.
• The Act gave a one-time opportunity to Indian residents to declare undisclosed foreign income and assets.

Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015

• It penalises the concealment of foreign income and provides for criminal liability for attempting to evade tax in relation to foreign income.
• The Act gave a one-time opportunity to Indian residents to declare undisclosed foreign income and assets.
• The concerned person had to pay tax at the rate of 30% and an equal amount by way of penalty if found having undisclosed overseas wealth.
• However, in case of non-declaration, the provisions included slapping of tax at the rate of 30% along with a penalty equal to three times the amount of tax evaded or 90% of the undisclosed income or the value of the asset.
• The Act provides for punishment of jail for 3-10 years for the willful evasion.

West Nile Fever

Recently, cases of infection due to West Nile Virus have been reported in Malappuram and Kozhikode districts of Kerala which left the State Health Department with the twin problems of underreporting and identification of the source of West nile fever in the region.

About West Nile Virus

• Commonly found in Africa, Europe, the Middle East, North America and West Asia, the West Nile Virus (WNV) causes viral infection which is typically spread by mosquitoes and can cause neurological disease as well as death.
• It was first identified in a woman in the West Nile district of Uganda in 1937, and then was identified in birds in the Nile delta region.
• Virus can be injected into humans and animals and can also be transmitted through contact with other infected animals, their blood or tissues.
• Rare cases of infection have occurred through organ transplant ,blood transfusion and breastfeeding.
• Till date no human to human transmission is reported.
• According to the WHO, its symptoms either remain asymptomatic or cause severe west nile fever disease in 80% of infected people.
• 20% of people who develop symptoms report fever headache, nausea occasionally with a skin rash and swollen lymph gland.

Joko Widodo re-elected as Indonesian President

• Joko Widodo has been re-elected as the President of Indonesia after defeating former General Prabowo Subianto.
• Joko Widodo has been President since 2014 and has focused his campaigns around his image as the “Man of the people”.

Indonesia

• It is an archipelago that lies across the Equator and spans a distance equivalent to one-eighth of Earth’s circumference.
• Indonesia is the largest country in Southeast Asia. It shares a border with Malaysia in the northern part of Borneo and Papua New Guinea in the centre of New Guinea (part of Indonesia).
• The capital, Jakarta, is located near the northwestern coast of Java.
• It is a muslim dominated country with 80% muslim population.