Union Budget 2026 highlights: FM Nirmala Sitharaman Launches 6‑Month Window for Small Taxpayers to Disclose Foreign Assets.
Stronger, automated enforcement after six months could drive lasting changes in taxpayer compliance behavior.
The Union Budget for the Financial Year 2026-27 was presented by Finance Minister Nirmala Sitharaman in the Lok Sabha today (Sunday, 1 February 2026). Among many announcements made during the Union Budget 2026 presentation, Finance Minister Nirmala Sitharaman announced 6 months foreign asset disclosure scheme for small taxpayers. Budget 2026: FM Proposes Full Tax Exemption...
The Union Budget for the Financial Year 2026-27 was presented by Finance Minister Nirmala Sitharaman in the Lok Sabha today (Sunday, 1 February 2026).
Among many announcements made during the Union Budget 2026 presentation, Finance Minister Nirmala Sitharaman announced 6 months foreign asset disclosure scheme for small taxpayers.
Nirmala Sitharaman said in her speech, "To address practical issues of small taxpayers like students, young professionals, tech employees, relocated NRIs, and such others, I propose to introduce a one-time 6-month foreign asset disclosure scheme for these taxpayers to disclose income or assets below a certain size.”
During the budget, the Finance Minister proposed one time six month foriegn asset disclosure scheme for these taxpayers, such as:
- Students
- Young professionals
- Tech employees
- Relocated NRIs
- Such others.
This scheme would apply to two categories of taxpayers, namely:
| Category A | Category B |
| 5 Cr.
Prosecution will be available with a payment of one lakh rupees. |
FM Nirmala Sitharaman clarified that taxpayers will not face any interest liability on penalty amounts during the period of appeal before the first appellate authority, regardless of the outcome.
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