The Income Tax Department will take measures to dispel notions about allegations of ‘tax terrorism’ (harassing of tax payers), said D. Rohini, Additional Commissioner of Income Tax, Tamil Nadu and Puducherry.
“There are allegations about tax terrorism by some fringe sections of the society. We will dispel the notion by reaching out to the citizens and also by identifying the fringe propaganda and giving a suitable response with facts and figures available at our disposal,” she said speaking at a webinar organised by the IT Department as part of the commemoration of the 161st anniversary of Income Tax Day on Saturday.
Ms. Rohini pointed out that with the rapid embracing of technology, incorporation of transparency and accountability, India is going to outdo many of the Western systems of tax administration. She also said widening of the tax base and international taxation and transfer pricing would be of greater focus for the Department going forward.
Speaking at the event, Subashree Anantkrishnan, Principal Chief Commissioner of Income Tax, Tamil Nadu and Puducherry pointed out that the Department was the first to embrace technology and make it easier for the taxpayers.
Rajib Kumar Hota, Chief Commissioner of Income Tax (Retired) said one of the key focuses should be on the area of ensuring tax certainty. Due to the COVID-19 pandemic, it was expected that a lot of companies would shift their base from China to India. However, out of the 39 global companies only three shifted to India and the remaining had shifted to ASEAN countries due to favourable tax systems and tax certainty, he pointed out. Mr. Hota said that tax laws in a global digital economy should be arrived at by consensus among countries and should not be unilateral decisions.
Abhishek Murali, Chairman Direct Taxes Committee, Southern India Regional Council of Institute of Chartered Accountants of India, said that the Income Tax Department is now using data mining in an effective manner to identify tax evasion. He also said the new income tax portal now enables taxpayers to get refunds in less than 12 hours.
