A very strong reason why the new move can be considered positive is that it is a far cry from the across-the-board legalisation of black money, on payment of a mere 7.5 per cent tax, resorted to earlier. That was without question a bad move, seeing that it sent out all the wrong signals. On the one hand, it left genuine taxpayers perturbed at the easy way in which dishonesty could be given a decent coat of paint. On the other, it implicitly informed holders of black money that in future they could expect similar moves allowing them to legalise their ill-gotten wealth. When we go even farther back in time, we note that a payment of a certain percentage in tax terms plus the condition that the questionably earned money be utilised in productive activities rendered the possessors of such money exempt from any inquiry. The bottomline, at this point, is thus simple: the new measure by the NRB is certainly an improvement on the earlier systems, especially on two counts. In the first place, it is confined to those who have legally and ethically earned the money they have. In the second, owners of such money have until July 31, that is, two months, to make their disclosures, pay the extra tax and so regularise their assets.

Those who have undeclared incomes which are legally sourced must now come forward to take the opportunity of regularising all their earnings thereby clearly and officially distinguishing themselves from those with undisclosed ill-gotten money.