India’s Foreign Assets of Small Taxpayers–Disclosure Scheme, known as FAST-DS, has come into effect. It provides eligible taxpayers with a limited opportunity to report certain foreign assets or income that were not previously disclosed to the Indian tax authorities.
Declarations must be submitted electronically between August 16 and December 31, 2026. The Income Tax Department has clarified that no declaration can be filed after the December deadline.
The scheme contains two principal categories. Under the first, qualifying undisclosed foreign assets and foreign income with a combined value of no more than ₹1 crore may be declared. The amount payable consists of tax equal to 30% of the declared value or income, plus an additional amount equal to that tax—making the effective outgo 60%.
The second category applies to eligible overseas assets that were either acquired while the taxpayer was a non-resident or financed from income already subjected to tax but were omitted from the relevant return schedule. If their aggregate value does not exceed ₹5 crore, they may be regularized by paying a flat fee of ₹1 lakh.
The programme is not automatically available to every NRI. A person who is currently an NRI or Resident but Not Ordinarily Resident may qualify only if the individual was an Indian resident during the year in which the relevant income arose or the asset was acquired.
Because eligibility, valuation and exclusions depend on individual circumstances, affected taxpayers should obtain professional tax advice before filing a declaration
