Source: News Bharati English02 Feb 2017 17:07:31

New Delhi, February 2: After surpassing unidentified cash donations to political parties Government said that donations to political parties via electoral bonds, as proposed in the Union Budget, will remain confidential. Also additional amendment has been proposed to the Reserve Bank of India Act to enable issuance of electoral bonds.Interview to PTI, Revenue Secretary Hasmukh Adhia said, donors' identity will also not be disclosed. He said the Finance Bill will amend Representation of People Act to keep the identity of donors using electoral bonds confidential.

The Revenue Secretary said the government will amend the Representation of Peoples Act to ensure secrecy of the electoral bond buyers. He said banks eligible for issuing such bonds will soon be notified. Guidelines for the scheme shall be issued by next month.

Adhia also said the parties have to file audited returns by December every year or risk losing tax exemptions. He said, the parties under law enjoy exemption from payment of income tax, but half of them do not file income tax returns on time.

The electoral bonds proposed in the Budget will not carry the name of the donor and can be purchased from authorised banks against cheque or e-payment. Such securities can be redeemed only through registered accounts of a political party.