The Income Tax Department’s efforts to match data obtained from other countries, including Switzerland, with income tax returns (ITRs) filed in India has resulted in taxpayers reporting additional foreign assets worth ₹29,208 crore and additional foreign income of ₹1,089.88 crore, the government said. 

In a statement issued on Friday evening, the Ministry of Finance also sought to address some allegations on social media that the black money of Indians stored in Swiss banks had ballooned. 

“Some media reports have suggested that money deposited in bank accounts of Indian entities in Switzerland has increased,” the statement noted. “It is reported that the data pertains to different types of funds, including deposits from enterprises, banks and individuals.”

It added that Switzerland has been providing India annual financial information about Indian residents under the Automatic Exchange of Information (AEOI) agreement signed by the two countries. The first such data transmission was in 2019 and has “continued regularly” since then, “covering even those accounts suspected of involvement in financial irregularities”.

On the basis of such information received from other countries, the Central Board of Direct Taxes (CBDT) undertakes a review of the data and identifies taxpayers whose cases require “further verification”, the statement added. 

“For AY 2024-25 (FY 2023-24), CBDT compared the data shared under AEOI with the information about foreign assets and income filed in the ITRs by the taxpayers, for the purpose of verification,” the statement said. “The analysis covered all jurisdictions, including Switzerland.” 

Following this, SMSs and emails were sent to various taxpayers whose foreign assets and incomes were not reported in the correct schedules of the ITRs asking them to review their returns. 

“As a result, a total of 24,678 taxpayers reviewed their ITRs and 5,483 taxpayers filed their belated return for the A.Y.2024-25, reporting foreign assets valuing to Rs. 29,208 crores and additional income of Rs.1,089.88 crores as foreign income,” the statement said. 

“Suitable action under the extant provision of law is under consideration for non-responsive taxpayers,” it added.