Rules 9-12 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Rule 9 prescribed Form 6 for a declaration under section 59 and Form 7 for the acknowledgement. Rules 10 and 11 fill two gaps in section 78 on authorised representatives, and rule 12 gives the method of rounding off under section 79. On the face of the sources, the declaration window of Chapter VI is closed; the parts of this article on Forms 6 and 7 record what the Rules of 2015 provided and do not suggest that a declaration can be made now. A reader relating an old declaration to a present notice can take advice from our legal consultation team.
As notified on 2 July 2015 (G.S.R. 529(E)), a declaration under section 59 was made in Form 6 and the Principal Commissioner or the Commissioner granted an acknowledgement in Form 7 within fifteen days of the submission of proof of payment of tax along with penalty under section 63(2). Rule 10 adopts the educational qualifications in rule 51 of the Income-tax Rules, 1962 for section 78(3)(f); rule 11 names the authority for section 78(4)(c); rule 12 rounds off to one hundred rupees or ten rupees, with fifty paise or more raised to a rupee.
Rule 9(1) and Form 6: the declaration
A declaration in respect of any undisclosed asset located outside India under section 59 of the Act was to be made in Form 6. The Act's own provisions on the declaration are in our articles on section 59 and on sections 60 to 63. The sources do not reconcile the dates around the window: section 1(3) of the Act prints 1 April 2016, the Rules take 1 July 2015 as the valuation date for assets declared under section 59 (rule 3, Explanation 2), and a note in Form 6 speaks of tax not paid before 31 December 2015. The instrument that links them is not in the sources, and this article gives no other date.
From its printed text, Form 6 is headed "Tax compliance for undisclosed foreign asset" and is addressed to the Principal Commissioner or Commissioner. It carries the following items:
- the declarant's name, address (office and residence, with e-mail and telephone), PAN, whether the declaration is original or revised, status (individual, HUF, firm, company and so on, and whether resident, non-resident or not ordinarily resident) and whether any Income-tax return has been filed, with the last assessment year and the Assessing Officer;
- a statement of undisclosed assets located outside India (the annexure), and the total amount of the declaration (item 8);
- tax payable thereon at thirty per cent. of item 8 (item 9) and penalty payable thereon at thirty per cent. of item 8 (item 10), as printed;
- tax paid on or before the date of declaration, with a table for the bank code, date of deposit, serial number of challan and amount, and the balance tax payable.
Reading items 9 and 10 against the Act: section 60 charged tax at thirty per cent. of the value, and section 61 imposed a penalty at the rate of one hundred per cent. of the tax. One hundred per cent. of tax charged at thirty per cent. of value is thirty per cent. of value, so item 10 is the same figure as the penalty under section 61 expressed on item 8. The form states the penalty in terms of item 8 and does not use the Act's wording.
The verification
The verification is a solemn declaration that:
- (a) the information given is correct and complete, true as far as the declarant knows and believes;
- (b) his own undisclosed foreign asset, and any undisclosed foreign asset of other persons in respect of which he is chargeable to tax, and income arising from assets held through any other person, for which he had failed to furnish a return, had failed to disclose in a return furnished before the commencement of the Act, or which had otherwise escaped assessment, has been disclosed;
- (c) section 71(a), in respect of the 1974 Act named there, is not applicable to him;
- (d) section 71(b), in respect of the offences under the Acts named there, is not applicable to him;
- (e) he has not been notified under section 3 of the Special Court (Trial of Offences Relating to Transactions in Securities) Act, 1992; and
- (f) the asset declared has not been acquired from income chargeable to tax for an assessment year in which the pending-notice, search, requisition or survey cases described in the form apply.
It ends with a statement of the capacity in which the declaration is made and that the declarant is competent to make and verify it. These match the exclusions in section 71, explained in our article on sections 71 and 72. Form 6 does not carry clause (d)(iii) of section 71 (treaty information) in its verification; that is a difference in the printed text and is not reconciled here.
The annexure and the notes
The annexure to Form 6 is a "Statement of undisclosed assets located outside India", with separate headings for a bank account, immovable property, jewellery, artistic work, shares and securities (quoted, unquoted equity, and other unquoted), and any other asset. Each heading refers to the fair market value "as per Rule 3", with a place for a separate computation if it differs, and several ask for a valuation report to be attached. It then asks for the total fair market value of all the assets declared, a deduction under section 5 of the Act (where part of an asset was acquired from income already assessed), a deduction for investment made in the previous year relevant to an assessment year for which a notice has been issued, and the total, which is taken to item 8. The valuation rules are in our articles on rule 3 for bullion, art, property and bank accounts and on rule 3 for shares, securities and interest in a firm.
The two notes at the foot say that: (1) if the total tax payable was not paid before 31 December 2015, the declaration would be treated as void and deemed never to have been made; and (2) a declaration made by misrepresentation or suppression of facts would be void and deemed never to have been made. The second matches section 68; see our article on sections 64 to 68.
Form 6 carries no e-filing or portal step in its printed text, and none is described here.
Rule 9(2) and Form 7: the acknowledgement
The Principal Commissioner or the Commissioner was to grant an acknowledgement in Form 7 to the declarant within fifteen days of the submission of proof of payment of tax along with penalty by the declarant under section 63(2). Form 7 is headed "Acknowledgement of declaration of undisclosed foreign asset under Chapter VI". By its printed text it says that a declaration under section 59 has been accepted, and records the declarant's name and address, PAN, the receipt number and date of filing, the total fair market value of the assets declared and accepted (with the annexure to Form 6 countersigned), the tax payable, the penalty payable, the total and the details of tax paid. Its note says no acknowledgement will be issued unless the total amount of tax and penalty payable has been paid.
Rule 10: educational qualifications
The educational qualifications for the purpose of clause (f) of sub-section (3) of section 78 shall be the same as those prescribed in rule 51 of the Income-tax Rules, 1962. The rule is quoted as printed in 2015; the current rules should be checked. Section 78 is explained in our article on sections 77 and 78.
Rule 11: authority in certain cases
For the purposes of clause (c) of sub-section (4) of section 78, the authority shall be the Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner having jurisdiction over the case in the proceedings connected with which the tax practitioner is alleged to be guilty of misconduct.
Rule 12: rounding off
For the purposes of section 79, the amount of undisclosed foreign income and asset computed in accordance with the Act, and any amount payable or receivable by the assessee, shall be rounded off to the nearest multiple of one hundred rupees or ten rupees, as the case may be. Where an amount contains a part of a rupee consisting of paise, then if the part is fifty paise or more it is increased to one rupee, and if it is less than fifty paise it is ignored. Section 79 is covered in our article on sections 79 to 83.
The four rules at a glance
| Rule | Subject | Implements | Form | Key point (as notified in 2015) |
|---|---|---|---|---|
| 9(1) | Declaration | Section 59 | Form 6 | Declaration of undisclosed asset located outside India |
| 9(2) | Acknowledgement | Section 63(2) | Form 7 | Within fifteen days of proof of payment of tax with penalty |
| 10 | Educational qualifications | Section 78(3)(f) | None | Same as rule 51 of the Income-tax Rules, 1962 |
| 11 | Authority | Section 78(4)(c) | None | Principal Chief Commissioner, Chief Commissioner, Principal Commissioner or Commissioner having jurisdiction |
| 12 | Rounding off | Section 79 | None | Nearest one hundred or ten rupees; fifty paise or more raised to a rupee |
A worked example (in the past tense)
Ishaan Rao declared a foreign flat in Form 6, with the annexure showing its fair market value under rule 3 and a valuation report attached. The tax at thirty per cent. of item 8 and the penalty at thirty per cent. of item 8 were worked out, and the amounts were paid. Within the time the Rules allowed, the Principal Commissioner or Commissioner granted an acknowledgement in Form 7 within fifteen days of the proof of payment. Rounding under rule 12 was applied to the amounts. The names and figures are invented.
Points the text leaves open
The Rules do not say what happened to a declaration if the acknowledgement was not given within fifteen days, or in what form the proof of payment was to be submitted beyond the Form 6 table. They give no online step. This article describes the Forms only from their printed text. Later amendment rules should be checked.
References and what to check
The rules and Forms are read as notified on 2 July 2015, and later amendment rules should be checked. References to the Income-tax Act, the Income-tax Rules, 1962 and other laws named in the Forms are quoted as printed in 2015; the current law should be checked. Our guide on the Black Money Act and undisclosed foreign income is a general companion.
Need help reading the history of an old declaration?
If an old declaration, acknowledgement or valuation is relevant to a notice you have received, our legal consultation team can read the Forms, the Act and your papers together and explain the position.
Key takeaways
- A declaration under section 59 was made in Form 6; the window is closed on the face of the sources.
- The acknowledgement was in Form 7, within fifteen days of proof of payment of tax with penalty.
- Form 6 prints tax and penalty each at thirty per cent. of item 8, which matches section 60 and a penalty of one hundred per cent. of the tax under section 61.
- Rule 10 adopts rule 51 of the Income-tax Rules, 1962 for representatives; rule 11 names the authority for misconduct findings.
- Rule 12 rounds to one hundred or ten rupees, with fifty paise or more raised to a rupee.
- Check later amendment rules before acting.
Read next
- Section 59: declaration of undisclosed foreign asset
- Sections 60 to 63: tax, penalty, manner and time for the one-time declaration
- Sections 77 and 78: appearance by approved valuer and authorised representative
- Black Money Act: undisclosed foreign income
Disclaimer: Based on the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 as enacted and published in the Gazette of India on 27 May 2015, and on the Rules of 2015 as notified on 2 July 2015, as consulted on 2 October 2026. Later Finance Act amendments, amendment rules and the current income-tax law should be checked. This article is general information, not legal advice; check the official text before acting.