Rs 10 lakh penalty for genuine taxpayers making inadvertent reporting errors; why Black Money Act needs changes

The Black Money Act's strict penalties, including a Rs 10 lakh fine, are unfairly penalizing honest taxpayers for inadvertent reporting errors. The dual use of 'may' and 'shall' creates ambiguity, leading to mandatory penalties even for minor oversights. Experts urge legislative reforms for clarity, fairness, and proportionality, advocating for a 'reasonable cause' defense to distinguish genuine mistakes from wilful evasion.