Poor response to PM’s Garib Kalyan Yojana, Central Govt. admits

New Delhi: Central Govt. admitted that its ambitious scheme, Pradhan Mantri Garib Kalyan Yojana (PMGKY) did not receive the expected response. It was revealed that under this scheme only Rs. 5000 crore unaccounted income was disclosed.

However, Arun Jaitley, Union Finance Minister said that PMGKY is not an isolated scheme rather it is linked with the other two schemes which were implemented in the previous financial year namely, Income Disclosure Scheme and Demonetization.

According to the report of Deccan Herald, Hasmukh Adhia, Revenue Secretary said that the response to PMGKY is not as expected. It only resulted in the declaration of Rs. 5,000 crore of unaccounted money.

Citing the reason for such poor response, Mr. Adhia said that people deposited their undisclosed money in different bank accounts to manipulate their undeclared income.

It may be mentioned that under PMGKY which was an opportunity for the tax evaders to come clean, a person has to pay 50% of his/her undisclosed money as penalty and keep 25% in fix deposit without interest. Thus, the person will be left with only 25% of his/her undisclosed money. This scheme was announced after demonization.