The Pradhan Mantri Garib Kalayan Yojana was a scheme to trap black money that came as a follow up initiative to demonetisation of November 2016. It was retailored Income Declaration Scheme with a black money declaration option from December 17, 2016 to March 31st, 2017. Money mobilised from the PMGKY Income Declaration Scheme will be utilised to finance the welfare programme for the poor which is called in the same name -Pradhan Mantri Garib Kalayan Yojana (PMGKY).
Tax rate on the disclosed income was 50%. This 50% tax rate comprised of basic tax rate of 30% plus 10% penalty and another 10% (or 33% of the basic tax rate) as PMGKY cess.
