Foreign Assets FAST DS Scheme: Have you hidden assets or earnings abroad? Last chance to inform with 30% tax and penalty till 31st December, know what is FAST-DS scheme – ..

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The Central Board of Direct Taxes (CBDT) and the Finance Ministry have introduced a new voluntary disclosure scheme, giving major relief to small taxpayers holding undisclosed assets abroad, foreign bank accounts, shares in foreign companies (ESOPs/RSUs) or foreign income. FAST-DS (Foreign Assets of Small Taxpayers – Disclosure Scheme, 2026) Has been notified. This scheme will be effective from 16 August 2026 and will remain in force till 31 December 2026. If any Indian resident taxpayer knowingly or unknowingly did not declare the details of foreign assets in ‘Schedule FA’ of his Income Tax Return (ITR), then this is his last legal chance to avoid the risk of heavy penalty and jail under the Black Money Act.

What is FAST-DS scheme and who will get its benefit?

FAST-DS is a one-time compliance window introduced by the Central Government for small taxpayers, students who have previously studied abroad, employees working in multinational companies (who have acquired overseas stocks) and returning NRIs who have returned to India.

  • Under the Black Money Act 2015, non-disclosure of foreign assets attracts 30% tax on the fair market value (FMV) of the asset along with a hefty penalty of up to 90% (total 120%) and a fine of ₹10 lakh per annum.

  • Under the FAST-DS scheme, taxpayers can get complete statutory immunity from legal actions, suits and heavy fines by paying fixed taxes or fees.

Calculation of taxes and fees under the scheme: 2 main categories

Two different categories have been created under this scheme based on the type of assets and earnings:

Which foreign assets come under its purview?

  • Open savings, current or fixed deposit accounts in foreign banks.

  • Shares, ESOPs, RSUs or mutual funds of foreign tech companies.

  • Immovable property (house, flat or land) purchased abroad.

  • Cryptocurrencies and Virtual Digital Assets (VDAs) held in foreign exchanges or wallets.

  • Shares in foreign trusts or property inherited from a relative abroad.

Planning deadlines and important dates

  • Start date: 16 August 2026.

  • Last date: 31 December 2026 (No declaration will be accepted after this).

  • Valuation Date: The fair market value of the properties will be decided on the basis of 31 March 2026.

  • Taxpayers will have to file online declaration by filling Form 1 electronically.

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