Gold amnesty scheme soon to overcome limited success of earlier IDS

Agencies
October 31, 2019

New Delhi, Oct 31: The government may soon announce an amnesty scheme for gold to bring hordes of black money used in buying the yellow metal considered a safe investment option in India.

According to sources, the new amnesty scheme would allow gold hoarders to come clean on investment made using black money by declaring their possession and paying tax on it.

The tax will have to be paid on entire value of gold declared by an individual that has been purchased without any receipt.

Though the rate of tax is yet to be worked out by the government, sources indicated that the thinking is to keep the rate at around 30 per cent level with an effective rate of around 33 per cent including education cess.

The new scheme is being considered as yet another attempt to unearth lakhs of crores of black money still lying in the system in the form of unaccounted gold.

It would also try to overcome limited success of an earlier amnesty scheme Pradhan Mantri Garib Kalyan Yojana (PMGKY), also known as IDS-II, launched in 2017, post the demonetisation exercise.

"The idea of the scheme is good but its effective implementation is difficult. People have amassed gold over times and on many occasions the yellow metal has been inherited leaving no transactional details.

"It would be hard to push people to declare if they have lost almost a third of the value," said an analyst who did not wish to be named as he was not aware of contours of the amnesty scheme.

Also, there is fear that after declaration of the wealth, an individual may be prone to harassment by tax officials.

It happened during the last two income declaration schemes (IDS) where tax officials were found to be seeking response from people making declarations to explain their source of income. In fact, lakhs of SMSs were sent by tax officials seeking response from cash depositors during the time of demonetisation.

The industry had suggested a new model for gold amnesty scheme to ensure its success as paying up front taxes on the value assets would attract few takers.

It had said that in return for declared gold, the government could issue 10 year zero coupon bonds with yield on it lower than prevailing rates. The gap in yield could take care of the tax that the declarer has not paid on the black money used to buy gold.

Just like the Income Tax amnesty scheme, this gold amnesty scheme is also expected to be open for a definite time period.

It is being worked out as part of a comprehensive gold policy that is being worked upon per Niti Aayog's suggestions two years ago.

It is estimated that the total stock of gold held by Indians will be in the region of 20,000 tonne. However the actual holding after taking into account unaccounted imports, ancestral holdings etc should actually be in the region of 25,000-30,000 tonne.

The value of this gold at current prices will be in excess of $1 trillion and $1.5 trillion respectively.

One of the charges that the Opposition levelled against the Modi government in this year's general elections was about failure of the Centre on bringing back black money.

The gold scheme would be yet another attempt to channelise a large portion of undeclared wealth into normal channels.

The Modi government has taken a slew of decisions ever since it came to power to clamp down on black money -- one of the main planks in General Election of 2014.

It has brought amnesty schemes for both black money held in foreign countries and domestically. The fight in November 2016 culminated to demonetising the high value Rs 500 and Rs 1,000 notes.

The government hoped that time that out of Rs 15.4 lakh crore of these notes being in circulation, about Rs 2-3 lakh crore may not be deposited in bank accounts as this was black money.

However, this never happened as almost entire quota of outlawed notes were deposited in bank accounts casting doubts over efficacy of the move.

The government is unperturbed from it and plans to take more measures to clamp down on black money. In the case of gold, it is expected to go a lot softer on holders of unaccounted wealth.

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News Network
December 16,2025

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The deletion of over 58 lakh names from West Bengal’s draft electoral rolls following a Special Intensive Revision (SIR) has sparked widespread concern and is likely to deepen political tensions in the poll-bound state.

According to the Election Commission, the revision exercise has identified 24 lakh voters as deceased, 19 lakh as relocated, 12 lakh as missing, and 1.3 lakh as duplicate entries. The draft list, published after the completion of the first phase of SIR, aims to remove errors and duplication from the electoral rolls.

However, the scale of deletions has raised fears that a large number of eligible voters may have been wrongly excluded. The Election Commission has said that individuals whose names are missing can file objections and seek corrections. The final voter list is scheduled to be published in February next year, after which the Assembly election announcement is expected. Notably, the last Special Intensive Revision in Bengal was conducted in 2002.

The development has intensified the political row over the SIR process. Chief Minister Mamata Banerjee and her Trinamool Congress have strongly opposed the exercise, accusing the Centre and the Election Commission of attempting to disenfranchise lakhs of voters ahead of the elections.

Addressing a rally in Krishnanagar earlier this month, Banerjee urged people to protest if their names were removed from the voter list, alleging intimidation during elections and warning of serious consequences if voting rights were taken away.

The BJP, meanwhile, has defended the revision and accused the Trinamool Congress of politicising the issue to protect what it claims is an illegal voter base. Leader of the Opposition Suvendu Adhikari alleged that the ruling party fears losing power due to the removal of deceased, fake, and illegal voters.

The controversy comes amid earlier allegations by the Trinamool Congress that excessive work pressure during the SIR led to the deaths by suicide of some Booth Level Officers (BLOs), for which the party blamed the Election Commission. With the draft list now out, another round of political confrontation appears imminent.

As objections begin to be filed, the focus will be on whether the correction mechanism is accessible, transparent, and timely—critical factors in ensuring that no eligible voter is denied their democratic right ahead of a crucial election.

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News Network
December 15,2025

Mangaluru police have arrested a 27-year-old NRI on his return from Saudi Arabia in connection with an Instagram post allegedly containing derogatory and provocative remarks about the Hindu religion, officials said on Monday.

The accused, Abdul Khader Nehad, a resident of Ulaibettu in Mangaluru, was working in Saudi Arabia when the post was uploaded, police said.

A suo motu case was registered at the Bajpe police station on October 11 after an allegedly offensive post circulated from the Instagram account ‘team_sdpi_2025’. Police said the content was flagged for being provocative and derogatory in nature.

During the investigation, technical analysis traced the Instagram post to Nehad, who was residing abroad at the time, a senior police officer said. Based on these findings, a Look Out Circular (LOC) was issued against him.

On December 14, Nehad arrived from Saudi Arabia at Calicut International Airport in Kerala, where he was taken into custody on arrival. Police said further investigation is underway.

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News Network
December 13,2025

New Delhi: School-going children are picking up drug and smoking habits and engaging in consumption of alcohol, with the average age of introduction to such harmful substances found to be around 13 years, suggesting a need for earlier interventions as early as primary school, a multi-city survey by AIIMS-Delhi said.

The findings also showed substance use increased in higher grades, with grade XI/XII students two times more likely to report use of substances when compared with grade VIII students. This emphasised the importance of continued prevention and intervention through middle and high school.

The study led by Dr Anju Dhawan of AIIMS's National Drug Dependence Treatment Centre, published in the National Medical Journal of India this month, looks at adolescent substance use across diverse regions.

The survey included 5,920 students from classes 8, 9, 11 and 12 in urban government, private and rural schools across 10 cities -- Bengaluru, Chandigarh, Delhi, Dibrugarh, Hyderabad, Imphal, Jammu, Lucknow, Mumbai, and Ranchi. The data were collected between May 2018 and June 2019.

The average age of initiation for any substance was 12.9 (2.8) years. It was lowest for inhalants (11.3 years) followed by heroin (12.3 years) and opioid pharmaceuticals (without prescription; 12.5 years).

Overall, 15.1 per cent of participants reported lifetime use, 10.3 per cent reported past year use, and 7.2 per cent reported use in the past month of any substance, the study found.

The most common substances used in the past year, after tobacco (4 per cent) and alcohol (3.8 per cent), were opioids (2.8 per cent), followed by cannabis (2 per cent) and inhalants (1.9 per cent). Use of non-prescribed pharmaceutical opioids was most common among opioid users (90.2 per cent).

On being asked, 'Do you think this substance is easily available for a person of your age' separately for each substance category, nearly half the students (46.3 per cent) endorsed that tobacco products and more than one-third of the students (36.5 per cent) agreed that a person of their age can easily procure alcohol products.

Similarly, for Bhang (21.9 per cent), ganja/charas (16.1 per cent), inhalants (15.2 per cent), sedatives (13.7 per cent), opium and heroin (10 per cent each), the students endorsed that these can be easily procured.

About 95 per cent of the children, irrespective of their grade, agreed with the statement that 'drug use is harmful'.

The rates of substance use (any) among boys were significantly higher than those of girls for substance use (ever), use in the past year and use in the past 30 days. Compared to grade VIII students, grade IX students were more likely, and grade XI/XII students were twice as likely to have used any substance (ever).

The likelihood of past-year use of any substance was also higher for grade IX students and for grade XI/XII students as compared to grade VIII students.

About 40 per cent of students mentioned that they had a family member who used tobacco or alcohol each. The use of cannabis (any product) and opioid (any product) by a family member was reported by 8.2 per cent and 3.9 per cent of students, respectively, while the use of other substances, such as inhalants/sedatives by family was 2-3 per cent, the study found.

A relatively smaller percentage of students reported use of tobacco or alcohol among peers as compared to among family members, while a higher percentage reported inhalants, sedatives, cannabis or opioid use among peers.

Children using substances (past year) compared to non-users reported significantly higher any substance use by their family members and peers.

There were 25.7 per cent students who replied 'yes' to the question 'conflicts/fights often occur in your family'. Most students also replied affirmatively to 'family members are aware of how their time is being spent' and 'damily members are aware of with whom they spend their time'.

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