Finance Minister assures taxpayers of a friendly income tax regime

New Delhi, July 24, 2023 

Ms. Sitharaman said while the department is now transparent, objective and friendly, there is still “a lingering memory” of the use of discretion by a few officers

Finance and Corporate Affairs Minister Nirmala Sitharaman assured taxpayers of a transparent, objective and friendly income tax regime and said assessments for around one lakh notices issued to taxpayers this year will be completed by March 2024.

Stressing that such notices were only sent to those who should have been filing taxes but hadn’t, or those whom the Income Tax department believed had understated income, the Minister said the Central Board of Direct Taxes has assured that these will be cleared by next March.

Widening India’s tax base remains a priority and the tax collected or deducted at source (TCS and TDS) approach to “track and trace” likely tax liabilities, along with campaigns and “nudges” to encourage people to come above board on taxes, will help, she said.

Speaking at an Income Tax Day event, Ms. Sitharaman said while the department is now transparent, objective and friendly, there is still “a lingering memory” of the use of discretion by a few officers.

“The board today is not sitting over notices that have been issued and any level of discretion is being played up or people gaming the system is not happening anymore… But the perception also matters. Let us ask the question to introspect on how we are being perceived. And how do we handle ourselves,” she noted.

[The Hindu]