The government has set up a high level Committee headed by the Chairman, CBDT, to examine ways to strengthen laws to curb generation of black-money in the country, its illegal transfer abroad and its recovery.

The Committee is to examine the existing legal and administrative framework to deal with the menace of generation of black money through illegal means including, declaring wealth generated illegally as national assets, enacting or amending laws to confiscate and recover such assets and providing for exemplary punishment against its perpetrators beside other measures.

In a written reply in the Rajya Sabha, the Minister of State in the Finance Ministry, Mr. S.S. Palanimanickam, today said, the Committee is to consult all stakeholders and submit its report within a period of six months.

The Minister further informed that adequate provisions have been made in the Direct Tax laws to punish a tax evader. He said the Direct Tax laws contain provisions prescribing varying terms of imprisonment for various tax offences.