Money or Cash which is earned through any illegal/illicit activity controlled by country regulations. Black money proceeds are typically received in cash from underground economic activity and, as such, is not taxed. Recipients of black money must hide it, spend it only in the underground economy, or endeavor to give it the appearance of legitimacy through money laundering.
There is no specific definition of black money in the writing or monetary theory.
Truth be told, a few terms with comparable implications have been in trend, including ‘unaccounted income’, ‘black income’, ‘dirty money’, ‘black wealth’, ‘underground wealth’, ‘black economy’, ‘parallel economy’, ‘shadow economy’, and ‘underground’ or ‘unofficial’ economy.
These terms more often than not refer to any salary on which the imposed forced by government or public authorities have not been paid.
Such wealth may comprise of income produced from legitimate activities or activities which are illegitimate as such, like smuggling, illicit trade in banned substances, counterfeit currency, arms trafficking, terrorism, and corruption.
In short, ‘BLACK MONEY’ can be defined as ASSETS OR RESOURCES THAT HAVE NEITHER BEEN REPORTED TO THE PUBLIC AUTHORITIES AT THE TIME OF THEIR GENERATION NOR DISCLOSED AT ANY POINT OF TIME DURING THEIR POSSESSION.
Black Money in India :
A study conducted by the IMF around 10 years and
a half back demonstrated that with respect to the span of the underground money, India holds the first rank took after by the United States and Canada having the second and the third positions.
In India, black money or unaccounted wealth assessed by Prof. Kaldor in 1953-54 as Rs. 600 crore was assessed by Wanchoo Committee as Rs. 1,000 crore in 1965-66 and Rs. 1,400 crore in 1969-70. Rangnekar placed the figures of black money at Rs. 1,150 crore for 1961-62, Rs. 2,350 crore for 1964-65, Rs. 2,833 crore for 1968-69, and Rs. 3,080 crore for 1969-70.
Related Link :
Indian black money