UPSCpedia: Economedia - Black Money

Indian black money

• The total amount of black money deposited in foreign banks by Indians is unknown, but one estimate by Professor R Vaidyanathan at Indian Institutes of Management estimated the total at over 7,280,000 Crores (US$1.4 trillion).
• Black money refers to funds earned on the black market, on which income and other taxes has not been paid.
• In January 2011 the Supreme Court of India asked why the names of those who have stashed money in the Liechtenstein Bank have not been disclosed.
  
• Swiss banking officials have said that the largest depositors of illegal foreign money in Switzerland are Indian.
• In August 2010, the government revised the Double Taxation Avoidance Agreement to provide means for investigations of black money in Swiss banks. This revision, expected to become active by January 2012
• To curb black money, India has signed TIEA with 10 countries - Bahamas, Bermuda, the British Virgin islands, the Isle of Man, the Cayman Island, the British island of Jersey, Monaco, St. Kitts and Nevis, Argentina and the Marshal Islands - where money is believed to have been stashed away.