India's tax department contacts UAE property owners over undisclosed assets

Indian expats who own properties in the UAE are being contacted by India's Income Tax Department to review whether foreign assets and income have been correctly disclosed in their Indian tax returns. The outreach promotes the Foreign Assets of Small Taxpayers – Disclosure Scheme, 2026 (FAST-DS), which offers a one-time opportunity to disclose previously unreported foreign assets and income by December 31, 2026.

The scheme has two categories: undisclosed assets or income up to Rs 10 million (requiring 60% payment of declared value), and previously taxed assets up to Rs 50 million acquired while non-resident (requiring a fixed Rs 1 million fee). India receives information about overseas financial accounts through international frameworks including the Common Reporting Standard (CRS) and the Foreign Account Tax Compliance Act (FATCA).

Indian expats and investors with UAE property should review their tax returns, check the e-filing portal for linked foreign-asset information from 2022–2024, retain supporting documents, verify their residency status at the time of acquisition, and seek professional tax advice to assess any omissions. If eligible omissions remain unresolved, consequences under the Black Money Act may include 30% tax, penalties up to three times the tax, and separate penalties up to Rs 10 million.