PM Modi launches “Transparent Taxation - Honoring the Honest” platform | Check Complete Details

Transparent Taxation - Honoring the Honest
 

Honest Taxpayers!

 

In an attempt to digitalize the Income Tax Department’s functioning, to simplify the tax system and bring reform in the old school method of tax assessment, on Thursday, 13th August 2020, PM Modi unveiled the “Transparent Taxation - Honoring the Honest” platform.

 

The taxation reform aims at reducing government interference in the lives of people and leveraging the technology for the betterment of the country’s taxation system. The focus is mainly to make the entire taxation process seamless, painless (easy), and faceless (complete masking of the taxpayer and tax officer).

 

The earlier reforms were made in order to cover the loopholes in the tax system which were reaction-oriented reforms whereas the current reform is much of an action-oriented reform that focuses on eliminating the old school methods of the Income-tax department. 


Here are the key points discussed by PM Narendra Modi and the impact of the same on the taxpayers 👇

 

1.    The reform brings into effect faceless assessment for taxpayers, faceless appeal, and right’s charter for the taxpayers.

2.    The faceless assessment facility will be available from Sept 25th, 2020, to every citizen of the country. It will give confidence to the taxpayer of fairness & fearlessness.

3.    Tax system to be seamless, meaning that the tax administration will work to solve the problem instead of confusing every taxpayer.

4.    Taxpayers Charter: A crucial step taken by the government to protect honest taxpayers. Charter will prioritize taxpayer's integrity at utmost importance. The Charter will provide facility and safety to all taxpayers.

5.    The taxpayer charter is expected to have statutory status & will empower citizens by ensuring time-bound services by the I-T dept.

6.    The taxpayer is now assured of fair, courteous & rational behavior. I-T dept now has to take care of the taxpayer's dignity sensitively. No questions will be asked on the integrity of the taxpayer without any basis.

7.    The Centre reduced corporate tax to 22% from 30% for existing companies & 15% for new manufacturing units, scraping of dividend distribution tax & faceless assessment.

8.    PM Modi also mentioned, more than 3 lakh pending cases of tax dispute were resolved the “Vivad se Vishwas act”. 

9.    India now ranks 63 in the entire world for “Ease of Business” and this is pretty evident from the massive increase in Foreign Direct Investment (FDI) in India even during the lockdown.

10. The number of taxpayers under scrutiny has reduced to 0.26% in 2018-19 from 0.96% in 2014-15 which is a positive sign and shows the successful implementation of tax reforms.

 

The platform “Transparent Taxation - Honoring the Honest” is aimed to carry forward the journey of direct tax reform where no taxpayer will be harassed or treated with suspicion.

 

PM Modi ended his speech by appealing the citizens who are capable of paying taxes but due to any reason are not under the sight of the Income Tax Department, should voluntarily come forward and pay their dues.

 

Thanks for reading

If you have any queries, you can drop me a mail at thefinancemagic@gmail.com or you can drop a comment in the below comment section and we will get back to you as soon as possible. Till then check out our other popular articles 

 

·       Mutual fund for Beginners - The Complete Guide

·       National Education Policy 2020 is Finally here! - Complete Detail

·       Best Finance Books Ever Written!

·       A Complete Guide on the Stock Market

 

Let’s spread financial literacy together.

Do subscribe to get notifications of the latest articles.

 

Thanks for reading.

The Finance Magic 


Previous
Next Post »

Please do not spam ConversionConversion EmoticonEmoticon