Central Board of Direct Taxes (CBDT) Notifies Foreign Asset Disclosure Scheme for Small Taxpayers

Key facts

• Central Board of Direct Taxes (CBDT) notified the Foreign Assets of Small Taxpayers-Disclosure Scheme (FAST-DS), effective from August 16, 2026, with online declarations open until December 31, 2026.
• Eligible taxpayers can pay 30% tax on declared undisclosed foreign assets or income plus an additional amount equal to the tax, making the effective levy 60%.
• The fair market value of declared foreign assets will be determined as of March 31, 2026.
• For undisclosed foreign assets or income not previously offered to tax, the aggregate value must not exceed ₹1 crore.
• A second declaration category covers foreign assets already offered to tax or acquired while non-resident but not reported, with a threshold of ₹5 crore and a ₹1 lakh fee.
• Valid declarations provide immunity from further tax, penalties, and prosecution under the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 for the disclosed assets.