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Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
New Delhi, 13th April, 2023
PRESS RELEASE
Release of Direct Tax Statistics
Central Board of Direct Taxes (CBDT) has been releasing key statistics relating to Direct Tax collections and administration in public domain from time to time. In continuation of its efforts to place more and more information in public domain, the CBDT has further released Time-Series data as updated upto F.Y. 2021-22. The key highlights of some of these statistics are as under:
(i) Net Direct Tax Collections have increased by 121.18% from Rs. 6,38,596 crore in F.Y. 2013-14 to Rs. 14,12,422 crore in F.Y. 2021-22.
(ii) Net Direct Tax Collections have increased by 160.17% from Rs. 6,38,596 crore in F.Y. 2013-14 to Rs. 16,61,428 crore (provisional) in F.Y. 2022-23.
(iii) Gross Direct Tax Collections have increased by over 126.73% in F.Y. 2021-22, reaching a figure of Rs. 16,36,081 crore from Gross Direct Tax Collections of Rs. 7,21,604 crore in F.Y. 2013-14.
(iv) Gross Direct Tax Collections have increased by over 172.83% in F.Y. 2022-23, reaching a figure of Rs. 19,68,780 crore (provisional) from Gross Direct Tax Collections of Rs. 7,21,604 crore in F.Y. 2013-14.
(v) Direct Tax Buoyancy at 2.52 in F.Y. 2021-22 is the highest Direct Tax Buoyancy recorded over last 15 years.
(vi) Direct Tax to GDP ratio has increased from 5.62% in F.Y. 2013-14 to 5.97% in F.Y. 2021-22.
(vii) The Cost of collection has decreased from 0.57% of total collection in the F.Y. 2013-14 to 0.53% of total collection in the F.Y. 2021-22.
The availability of the Time-Series data in public domain will be useful for academicians, research scholars, economists and the public at large in studying long-term trends of various indices of the effectiveness and efficiency of Direct Tax administration in India. This time series data is available at www.incometaxindia.gov.in.
(Surabhi Ahluwalia)
Pr. Commissioner of Income Tax
(Media & Technical Policy) & Official Spokesperson, CBDT
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
New Delhi, 11th April, 2023
PRESS RELEASE
Search and seizure action by Income Tax Department in Karnataka
Income Tax Department commenced a Search & Seizure operation in the case of some Cooperative Banks, in the State of Karnataka, on 31.03.2023. These cooperative Banks have been found to be engaged in routing of funds of various business entities of their customers, in a manner, so as to abet them to evade their tax liabilities. A total of 16 premises were covered in the search action.
A large number of incriminating evidences in the form of hard copy documents and soft copy data have been found and seized during the search action. The seized evidences revealed that these Cooperative Banks were involved in rampantly discounting bearer cheques issued by various business entities, in the name of various fictitious non-existing entities. These business entities included contractors, real estate companies, etc. No KYC norms were followed while discounting such bearer cheques. The amounts after discounting were credited in the bank accounts of certain Cooperative Societies maintained with these Cooperative Banks. It was also detected that some Cooperative Societies subsequently withdrew funds in cash from their accounts and returned the cash to business entities. The purpose of such discounting of large number of cheques was to mask the real source of the cash withdrawal, and to enable the business entities to book bogus expenses. In this modus operandi, Cooperative Societies have been used as a conduit. Further, by using this modus operandi these business entities were also circumventing the provisions of the Income-tax Act, 1961, which limits the allowable business expenditure incurred other than by account payee cheque. Bogus expenditure booked in this way by these beneficiary business entities, could be to the tune of about Rs 1,000 crore.
During the search, it was also found that these Cooperative Banks allowed opening FDRs by using cash deposits without adequate due diligence, and subsequently sanctioned loan using the same as collateral. Evidence seized during the search revealed that unaccounted cash loans of over Rs 15 crore have been given to certain persons/customers.
It was also unearthed during the search action that the management of these Cooperative banks have indulged in generating unaccounted money through their real estate & other businesses. This unaccounted money, has been brought back in the books of account, by multiple layering, through these banks. Further, the bank funds were routed, without following due diligence, through various firms and entities owned by the management persons, for their personal use.
The search action has resulted in seizure of unaccounted cash of over Rs 3.3 crore and unaccounted gold jewellery worth over Rs 2 crore.
Further investigations are under progress.
(Surabhi Ahluwalia)
Pr. Commissioner of Income Tax
(Media & Technical Policy) & Official Spokesperson, CBDT
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Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
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New Delhi, 22nd March, 2023
PRESS RELEASE
Roll out of ‘AIS for Taxpayer’ Mobile App
The Income Tax Department has launched a Mobile app, namely, ‘AIS for Taxpayer’ to facilitate taxpayers to view their information as available in the Annual Information Statement (AIS) / Taxpayer Information Summary (TIS). ‘AIS for Taxpayer’ is a mobile application provided free of cost by the Income Tax Department, and is available on Google Play & App Store. The app is aimed to provide a comprehensive view of the AIS/TIS to the taxpayer which displays the information collected from various sources pertaining to the taxpayer.
Taxpayers can use the mobile app to view their information related to TDS/TCS, interest, dividends, share transactions, tax payments, Income Tax refunds, Other Information (GST Data, Foreign Remittances, etc.) as available in AIS/TIS. The taxpayer also has the option and the facility to provide feedback on the information displayed in the app.
To access this mobile app, the taxpayer needs to register on the app by providing PAN number, authenticate with the OTP sent on mobile number & e-mail registered on the e-filing portal. Subsequent to the authentication, the taxpayer can simply set a 4-digit PIN to access the mobile app.
This is another initiative of the Income Tax Department in the area of providing enhanced taxpayer services facilitating ease of compliance.
(Surabhi Ahluwalia)
Pr. Commissioner of Income Tax
(Media & Technical Policy) &
Official Spokesperson, CBDT
Ministry of Finance
72,42,156 is the highest number of ITR filing in a day on 31st July 2022
42.92% of total returns were processed within a span of 24 hours of furnishing of ITR
19 banks onboarded on online tax payment system TIN 2.0
Dated: 20 MAR 2023
The Government has taken a number of measures in recent years to maintain continuity and stability of taxation, further simplify and rationalise various provisions to reduce the compliance burden, promote the entrepreneurial spirit and provide tax relief to citizens. This was stated by the Union Minister of State for Finance Shri Pankaj Chaudhary in a written reply to a question in Lok Sabha today.
The Minister stated that the details of the some such measures are as per ANNEXURE.
Giving out more details, the Minister stated that the maximum, minimum and average amount of income tax returns filed and processed by the Income Tax e-filing portal within a span of 24 hours for A.Y. 2022-23 is as under:
Moreover, the Minister stated, for A.Y. 2022-23, 3,02,40,121 ITRs (i.e. 42.92% of total returns) were processed within a span of 24 hours of furnishing of ITR.
Giving out more information, the Minister stated that it is a continuous and ongoing endeavour to improve the tax payer portal (e-filing portal). Some of the steps taken in this regard include roll out of online tax payment system (TIN 2.0) on which till now 19 banks have onboarded. Further this portal made available new payment modes to taxpayers for payment of taxes. This has led to faster credit of taxes paid. Further, educational videos and FAQs are continuously being uploaded on the portal to create awareness among taxpayers on relevant topics for easier tax compliance. Recently, facility for co-browsing has been enabled on the portal for providing help to the taxpayers by the helpdesk team in respect of issues related to portal.
Further, the Minister stated that the common Income Tax Return (“CTR”) has been proposed as a common return form for all persons except Trusts. The proposed Return aims to bring ease of filing returns and reduce the time for filing the ITR by individuals and non-business-type taxpayers considerably. The taxpayers will not be required to see the schedules that do not apply to them. Schedules have been designed smartly in a user-friendly manner with better arrangement, logical flow, and with increased scope of pre-filling. It will also facilitate the proper reconciliation of third-party data available with the Income-tax Department vis a vis the data to be reported in the ITR to reduce the compliance burden on the taxpayers. Draft of the CTR was uploaded in public domain inviting comments from all stakeholders.
Income Tax department has the following grievance redressal mechanisms:
The Minister further stated that strengthening the grievance redressal mechanism is an ongoing and continuous process. With enhanced monitoring and reducing the response time to the various grievances filed by taxpayer, an impetus has been given in the various grievance redressal mechanisms. The increased digitalisation of procedures under the Act has also contributed to the improvement in the disposal of taxpayer grievances, the Minister stated.
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PPG/KMN
(Release ID: 1908923)
ANNEXURE
DIRECT TAX MEASURES
I. Reduction in tax rates & Simplification of direct tax laws
Corporate Tax - It has been the stated policy of the Government to simplify the Income-tax Act, 1961 by removing exemptions and incentives while at the same time reducing the rates of taxes. Starting from the Finance Act, 2016, the corporate tax rates have been gradually reduced while phasing out the exemptions and incentives available to the corporates. In furtherance of this policy, through Taxation Laws (Amendment) Act, 2019, an option has been provided to the corporates to pay tax at concessional rate of 22% (plus applicable surcharge and cess) if they do not avail any exemption or incentive. Further, new domestic manufacturing companies (set up on or after 1st October, 2019 and starting manufacture on or before 31st March, 2024) has been provided an option for paying tax at 15% (plus applicable surcharge and cess) without claiming specified exemption and incentive. Further, such companies are not required to pay MAT as well.
Personal Income Tax- Further, in order to reform personal income tax, Finance Act, 2020 has provided an option to individual taxpayers for paying income-tax at lower slab rates if they do not avail specified exemption and incentive. The personal income tax new regime is proposed to be further liberalised by Finance Bill, 2023 by providing substantial relief to taxpayers under this regime.
II. Ease of Compliance for Taxpayers
Faceless Schemes – The procedures for assessment, appeal and levy of penalty under the Income-tax Act have been made faceless by eliminating the human interface between the Assessing Officer and the assessee, optimising use of resources through functional specialization and streamlining the procedures to enable efficient implementation.
Pre-filling of Income-tax Returns- In order to make tax compliance more convenient, pre-filled Income tax Returns (ITR) have been provided to individual taxpayers. The ITR form now contains pre-filled details of certain incomes such as salary income. The scope of information for pre-filing is being further expanded by including information such as house property income, capital gains from securities, bank interest, dividends, etc.
Taxpayers’ Charter: The Hon’ble Prime Minister has also launched a ‘Taxpayer’s Charter’. The Charter reflects certain principal commitments of the Income Tax Department towards the taxpayer. The taxpayer’s charter has been adopted by the CBDT as per the provisions of section 119A. With its adoption, India joins other major economies in the world like USA, UK, Canada and Australia which too have adopted and published Charter as a gesture of their commitment towards their taxpayers. The Charter will go a long way in strengthening the trust between the taxpayer and the tax administration. It will also help in enhancing the efficiency of the delivery system of the Income Tax Department.
Updated return - A new provision has been introduced in the Act facilitating the taxpayer to be able to update his return anytime within two years from the end of the relevant assessment year. A taxpayer can file an updated return by voluntarily admitting omissions or mistakes and paying an additional tax as applicable. A formal mechanism of first passively sharing information through Assessee Information System (AIS) and then actively sharing through e-Verification scheme has been recently enabled. Non-intrusive voluntary compliance through this two-pronged approach is devised to enable access to a taxpayer of information available with the Department and to nudge him to correct omissions/errors/oversights) by allowing updating of this return of income.
III. Reduction in Litigation
Setting up of Dispute Resolution Committee (DRC)- For reducing litigation and to give an impetus to the dispute resolution for small taxpayers, a Dispute Resolution Committee is to be constituted. A taxpayer having taxable income up to Rs. 50 lakh and disputed income up to Rs. 10 lakh shall be eligible to approach the Committee. For ensuring efficiency, transparency and accountability, the procedure of the Committee will be conducted in a faceless manner.
Vivad se Vishwas- Since a large number of disputes related to direct taxes were pending at various levels of adjudication from Commissioner (Appeals) level to Supreme Court, an urgent need was felt to provide for resolution of pending tax disputes which will not only benefit the Government by generating timely revenue but also the taxpayers as it will bring to close mounting litigation costs and efforts can be better utilized for expanding business activities. Hence, Direct Tax Vivad se Vishwas Act, 2020 was enacted on 17th March, 2020 under which the declaration for settling disputes have been filed. The scheme has been very successful.
Repetitive appeals: Taking forward the policy of litigation management, a new section 158AB is inserted into the Income-tax Act. If a question of law in the case of an assessee is identical to a question of law pending in appeal before the jurisdictional High Court or the Supreme Court in any case, the filing of further appeal to the Appellate Tribunal or the jurisdictional High Court in the case of the assessee shall be deferred till such question of law is decided by the relevant Court subject to certain conditions.
IV. Benefits to senior citizen taxpayers
In order to ease compliance burden on senior citizen pensioners who are of 75 years of age or above having pension and interest income have been exempted from the requirement of filing of income tax if the full amount of tax payable has been deducted by the paying bank.
INDIRECT TAXES
In this regards steps taken in relation to import duty are listed as follows –
A simplified tax structure with fewer tax rates helps in reducing compliance burden, improving tax administration and a step forward in achieving our objective of ‘Make in India’ and ‘Atmanirbhar Bharat’.