As demonetisation drive is going to end, the government has set its vision on benami property to control black money. Presently it’s going to be a hard time for the people who have bought their property by violating the guidelines.
If any property found under the Benami Act will be reallocated by the central government without paying any money to the property real holder.
Benami Property Transaction Act 2016 is a further correction of Benami Property Transaction Act 1988 which is again re-entitled as Prohibition of Benami Property Transaction Act 1988 (PBPT). The change act came into compel on November 1st, 2016.
What is a Benami Act?
It is an establishment passed by the Government of India that a man not purchasing a property in his/her name, rather financing the property in some other’s name will be called as “benamdar” and the ownership of such property will be called as “benami property”.
What are the charges forced under the Act?
The actual proprietors of the property who were purchasing the property on a bogus name or in the interest of another person’s name should confront extreme charges held under the Benami Act. Prior, under PBPT Act, the charges forced were to 3 years of imprisonment, while under the PBPT Act of 2016, if any accused found with such act full deed will be imprisoned for 5 to 7 years with the inconvenience of fine which can authentic up to 25% on the present market estimation of the benami property.
What are the provisions to recover property under Benami Act?
There is no acknowledgment of claim under such sort of ownership of property. Be that as it may, a appellate system has been shaped under PBPT to hear the cases which are recorded against benami property.
Any property found under the Benami Act will be seized by the central government without paying any remuneration to the actual holder of the property.
Official in charge of making vital move:
Underneath the finance ministry, Joint/Additional Commissioner of Income-Tax, an Assistant/Deputy Commissioner of Income-tax and a Tax Recovery Officer in every area have been advised to make the functions and practice the forces of the Approving Authority, Initiating Officer and Administrator, correspondingly, under the PBPT Act.