The Foreign Assets of Small Taxpayers Disclosure Scheme (FAST-DS), 2026, provides eligible taxpayers with a one-time opportunity to disclose previously undisclosed foreign assets or income that were not declared in their Income Tax Returns. According to reports from Mint, the scheme came into effect on 16 August 2026 and remains open for declarations until 31 December 2026. Taxpayers who make a valid disclosure under FAST-DS must pay the prescribed tax or fee on the amount determined by the Income-tax Authority, using a separate challan called ITNS 289. The scheme is administered under Chapter IV of the Finance Act, 2026 and operates under the Income-tax Act, 1961.
ITNS 289 is the specific challan used to pay the amount payable under FAST-DS after taxpayers have submitted Form 1 and received Form 2, which determines the payment amount. As reported by Mint, Form 1 can be filed to declare eligible undisclosed foreign assets, undisclosed foreign income, or certain undeclared foreign assets covered under the scheme. Once the Income-tax Authority determines the amount payable and issues Form 2, taxpayers can proceed with payment through ITNS 289. The challan has major heads including 0020: Corporation Tax (Income-tax on Companies) and 0021: Income Tax (Other than Companies), with minor heads depending on the taxpayer's PAN category. For corporate taxpayers, there are additional minor heads 115: Amount payable under the Foreign Assets of Small Taxpayers Disclosure Scheme, 2026 (for Corporate PAN) and 116: Amount payable under the Foreign Assets of Small Taxpayers Disclosure Scheme, 2026 (for Non-Corporate PAN).
Taxpayers can generate the ITNS 289 challan either through the e-Filing portal login or via the pre-login route. According to Mint, the payment must be made within two months from the end of the month in which Form 2 is received. If the payment is delayed, interest at 1% per month or part of a month is payable for the delayed period. The delay period cannot exceed an additional two months, failing which the declaration becomes void. The payment process involves selecting the FAST-DS option, entering payment details according to the Form 2 order, and choosing available payment methods including net banking, card, or UPI. For payments made under ITNS 289, Assessment Year 2026-27 will be pre-filled by the system and cannot be modified by the taxpayer.
After making the payment, taxpayers must electronically submit Form 3 (Intimation of Payment) along with proof of payment. As reported by Mint, the authority will verify the payment and issue Form 4, certifying the payment made under FAST-DS. The process cannot be completed without this final submission. Importantly, ITNS 289 payments cannot be corrected or refunded, including payments made under incorrect minor heads, making careful verification of Form 2 orders essential before payment. For cases covered under Table Serial No. 2 of Section 133, the fee payable is a fixed amount of ₹1,00,000, irrespective of the value of the asset, provided the value of the foreign asset does not exceed ₹5 crore.
The Income Tax Department is actively reaching out to taxpayers through email communications to encourage compliance under FAST-DS. According to recent reports, the department has specifically pointed taxpayers towards their Annual Information Statement (AIS) on the e-filing portal, where foreign asset information may be available. The communication states, "If your overseas financial interests (assets/ income) have been left unreported in your earlier Income Tax Returns or have been acquired through undisclosed sources, we encourage you to utilise the ongoing, one-time compliance window under the FAST-DS (Foreign Asset of Small Taxpayers - Disclosure Scheme). This dedicated window is open till 31.12.2026." The department has also introduced 'Kar Saathi' on its portal for assistance relating to tax compliance, forms, procedures and related queries. Taxpayers who receive such communications should first check the Foreign Assets Information section in AIS and verify whether the information relates to them and whether the asset was already disclosed in the relevant ITR.
