New Delhi/London: The High Commission of India (HCI) in London held an outreach session with members of the ICAI UK Chapter on the Foreign Assets of Small Taxpayers – Disclosure Scheme (FAST-DS), 2026, and other tax matters relevant to small taxpayers.
Nidhi Mani Tripathi, Minister (Economic) at the High Commission, addressed the gathering. The First Secretary (ITOU) gave a presentation on the scheme and on the issues commonly faced by small taxpayers who hold foreign assets and earn foreign income.
The last date to file a declaration under the scheme is December 31, 2026.
About FAST-DS 2026
- What it is: FAST-DS is a one-time voluntary disclosure scheme. It lets eligible taxpayers declare certain undisclosed foreign assets, undisclosed foreign income or undeclared foreign assets on payment of a specified tax or fee. It is contained in Chapter IV (sections 130 to 144) of the Finance Act, 2026, and operates as a separate law rather than as part of the Income-tax Act.
- Origin: It was announced in the Union Budget 2026-27 and notified by the Central Board of Direct Taxes (CBDT) on August 14, 2026.
- Timeline: The scheme came into force on August 16, 2026, and online declarations are open until December 31, 2026.
- Who it targets: It is aimed at small taxpayers who may have missed reporting overseas holdings, such as students, young professionals, technology employees and relocated NRIs. Residents and former residents can use it.
- Two categories: Undisclosed foreign income of up to Rs 1 crore attracts an effective 60 per cent levy, made up of 30 per cent tax plus an equal additional amount. Reporting lapses involving foreign assets of up to Rs 5 crore, where the assets were acquired from income that was already taxed, can be regularised with a flat fee of Rs 1 lakh.
- Valuation: Assets are valued as of March 31, 2026.
- Benefit: A valid declaration gives immunity from prosecution and further penalties, including under the Black Money Act.
- Filing: Declarations are filed online using the prescribed forms, and the tax or fee is paid as specified.
Why the outreach matters
Many Indian professionals and students based in the UK may hold bank accounts, investments or property abroad, and some may not have reported them in Indian returns. Sessions with professional bodies such as the ICAI chapter help reach such taxpayers and the accountants who advise them.