Benami Transactions (Prohibition) Bill, Purpose: To prohibit holding property Benami and restrict the right to recover or transfer such property. THE BENAMI TRANSACTIONS (PROHIBITION) ACT, An Act to prohibit benami transactions and the right to recover properly held benami and for. Subsequently, in the year , a Bill called “The Benami Transactions ( Prohibition) Bill, ″, was introduced in the Parliament wherein.
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New Benami law to allow property in spouse, siblings’ name – The Economic Times
The Bill restricts the right of any person who is claiming to be the real owner to recover such property. Pursuant to the Act, Rules had also not been framed. The Central Government shall appoint the seniormost member to be the Chairperson of the Adjudicating Authority. If an Initiating Officer believes that a person is a benamidar, he may issue a notice to that person.
Income will be their income and chargeable in their case.
Section 6 provides that benamidar shall not re-transfer the property to the beneficial owner or any other person acting on his behalf, meaning thereby that property cannot be transferred by the benamidar to the real owner or beneficiary. She said the new Bill contains elaborate provisions dealing with the definition of benami transaction and benami property, prohibited benami transactions, consequences of entering into a prohibited benami transaction and the procedure for implementing the benami law.
Sub-section 1 of section 24 reads as under:.
All you need to know about benami transactions Bill
The aforesaid section empowers the Initiating Officer to issue a notice only if: It also contains provisions regarding prosecution and has also provided for mechanism in regard to the relevant matters.
The Authorities appointed under the Act shall have same powers as are vested in a civil court under the Code of Civil Procedure,while trying a suit in respect of discovery and inspection, enforcing the attendance of any person compelling the production of books of account and other documents, issuing summons, receiving evidence on affidavits and any other matter which may be prescribed. The Parliament had bfnami passed the Benami Act, but it was never implemented as the rules were not framed.
The aforesaid section empowers the Initiating Officer to issue a notice only if:.
prohibitiin Scope of the Act Section 3 of the Act provides that no person shall enter into any benami transaction. The Bill beami seeks to establish an Appellate Tribunal to hear appeals against any orders passed by the Adjudicating Authority.
It has, however, been provided that in case notice is served on any of the persons, service shall not be deemed to be invalid on the ground that such notice has not been served to all the persons holding the property.
Section 24 of the Act provides for initiation of proceedings under the Act by the Initiating Authority, Assistant Commissioner or Deputy Commissioner as may be designated.
Section 55 of the Act provides that no prosecution shall be instituted against any person in respect of any offence under the Act without the previous sanction of Central Board of Direct Taxes.
Section 3 of the Act provides that no person shall enter into any benami transaction. Society does not go down because of the activities of criminals, But because of the inactivities of the good people.
Section 53 provides that where any person enters into a benami transaction in order to defeat the provisions of any law or to avoid payment of statutory dues or to avoid payment to creditors, the beneficial owner, benamidar and any person who abates or induces any person to enter into a benami transaction shall be guilty of the offences of benami transaction.
The Adjudicating Authority after considering the material and evidence as may be submitted by the parties concerned, shall pass an order within a period of one year from end of the month in which reference was received from the Initiating Officer holding whether property is in the nature of benami property or not.
Retrieved 17 February A question can be raised that if bebami can independently be acquired in the name of spouse or children, why there is a condition that property in the name of brother or sister or even in the name of father or mother can only be jointly with the individual providing the consideration and not benamu in their names.
Administrative Member shall be a member of Indian Revenue Service who holds the post of Chief Commissioner of Income-tax or equivalent post.
New Benami law to allow property in spouse, siblings’ name
The Act, however, did not have comprehensive provisions. Accordingly, the Benami Transactions Prohibition Act, prohibiiton enacted by the Parliament which came into force on 19 May The Administrator shall issue the notice for the surrender or forcible takeover of possession of the benami property.
The Benami Transactions Prohibition Bill, was introduced by the Ministry of Finance in the Lok Sabha on August 18, to enact a new legislation to prohibit benami transactions. In addition, any person who wilfully gives false information shall be liable to an imprisonment of three months to two years and a fine of up to 10 per cent of the prohibitiom value of the property. Background It is well known that there is wide circulation of black money in the society. Will be displayed Will not be displayed Will be displayed.
The Initiating Officer or the Adjudicating Authority may impound or retain any books of accounts that it may feel is required for the inquiry, for a period not exceeding three months from the date of attachment of the property. He is empowered to benamk such measures as may be necessary and as may be directed by the Central Government prohibitionn dispose of the property vested in the Central Government in such manner and subject to such conditions as may be prescribed.
All you need to know about benami transactions Bill – The Hindu
All power is within you; you can do anything and everything. In case it is held to be benami property attachment order shall be confirmed. Section 50 of the Act provides that the Central Government in consultation with the Chief Justice of the High Court shall designate one or more Courts of Sessions as special court or courts for respective area or for group of cases for the purpose of trial of offences punishable under the Act.