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The problem of unaccounted money, or black moneyas it is commonly known, has attracted a good deal of attention by the present regime. Since the raid on the lockers of some well known people in the major cities in Pakistan, the unearthing of black money has caused considerable excitement, both in the official as well as private circles.
The government implemented a major change by demonetizing the high value currency notes of Rs 500 and Rs 1000 denomination and replaced these existing notes from circulation with a new set of notes.
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Black money is defined as factor incomes, property incomes which should have been reported to income tax authorities but are not. The various mediums of generating black money are Land transactions, Encroachments on land, Payment of bribe, Misuse of public property, Misappropriation of public funds, Evasion of taxes etc.
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Problems of Black Money Even after 40 years of independence, our country is faced with poverty and numerous economic ills. Even though socialistic pattern of society has been accepted in the constitution, our country is far away from socialism and her economy is in the grip of private enterprises.
We hear news about Black Money in Indian economy very often these days. But what exactly is Black money? What makes money black or white? This short analysis is a humble attempt to cover essentials one should know about the black money issue in India. Definition of Black Money: It is to be noted here that there is no clear cut definition for black money in either economic or sociological.
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