Skip to main content

I-T Dept Doesn't Withhold Refunds or Scrutinise Small Taxpayers CBDT

The Income Tax department does not withhold refunds of small taxpayers nor does it generally select their tax returns for scrutiny and detailed analysis, the CBDT has said in an attempt to dispel two of the biggest concerns of this category of assesses. The chief of the apex policy-making body of the I-T department, CBDT chairperson Anita Kapur, said she would like to bust the myth and “fear psychosis“ that once people file their tax returns, they automatically come on the radar of the taxman and then they are tracked.
Kapur, in an interview to PTI, said in cases of neatly filed electronic Income Tax Returns (ITRs), the department has set a deadline of six months for refunds to be generated and sent to the taxpayer.
“We tell the taxpayers that in e-file returns we take a maximum of six months to process it if you have a clean return and no TDS mis-match. But then there is a misinformation campaign that we hold refunds. I will say we don't hold refunds for small taxpayers. “For large taxpayers, if it is a scrutiny case, then we have to hold it as per law till the scrutiny assessment is over but not for small taxpayers if their ITRs are all correct,“ she said. “We are not interested in holding up small returns,“ the CBDT chief said. Kapur said her second area of concern over which she would like to put the record straight is the version that taxman puts the cases of small and middle-category taxpayers on the scrutiny list which en tails submis sion of addi sion of addi tional documents and visits to the assess ing I-T offi cer.
Citing an example, she said no tax inspector can just go to y a person, like a fruit seller, and say he has to file his I-T re turn or that his return is going to be scrutinised.
“We are told that people are scared that once tax department knows about them after they have done filing (of ITR) then they are tracked and followed and they stay on the radar of the I-T department„“ she said.
The Economic Times, New Delhi, 5th Oct. 2015.

Comments

Popular posts from this blog

Budget: Startup sector gets new Fund of Funds, FM to allocate Rs 10K cr

  The Indian startup sector received a boost with Finance Minister Nirmala Sitharaman announcing the establishment of a new fund of funds (FoF) in the Budget 2025. The minister unveiled a fresh FoF with an expanded scope, allocating Rs 10,000 crore. The initial fund of funds announced by the government with an investment of Rs 10,000 crore successfully catalysed commitments worth Rs 91,000 crore, the minister said.   “The renewal of the Rs 10,000 crore commitment to the Fund of Funds for alternative investment funds (AIFs) is a significant step forward for the Indian startup and investment ecosystem. The initial Rs 10,000 crore commitment catalysed Rs 91,000 crore in investments, and I fully expect this fresh infusion to attract an additional Rs 1 lakh to Rs 1.5 lakh crore in capital,” said Anirudh Damani, managing partner, Artha Venture Funds.   Damani further added that this initiative will provide much-needed growth capital to early-stage startups, further strengthenin...

After RBI rate cut, check latest home loan interest rates of top banks for loans above Rs 75 lakh

  The Reserve Bank of India (RBI) has reduced the repo rate by 25 basis points from 6.50% to 6.25% in its monetary policy review as announced on February 7, 2025. After the RBI repo rate cut, banks such as SBI, Canara Bank, PNB, and Union Bank among others have cut their repo linked lending rates. Most other banks are also expected to cut their lending rates in line with the RBI rate cut. After banks cut their lending rates, their home loan borrowers will have to pay less interest. Normally, when a lender cuts the lending rate, borrowers get two options: Either to go for a reduction in EMIs or reduce the tenure of the loan. The second option will help the borrowers clear their home loan outstanding faster. In case, the borrower goes for reduction in EMI then the lower lending rate of the lender would mean lower Equated Monthly Installment (EMI) for borrowers.   EMI is the amount you will pay on a specific date each month till the loan is repaid in full.A repo rate-linked home ...

GST collections rise 9.9% to exceed Rs 1.96 trillion in March 2025

  Gross GST collection in March grew 9.9 per cent to over Rs 1.96 lakh crore, government data showed on Tuesday. GST revenue from domestic transactions rose 8.8 per cent to Rs 1.49 lakh crore, while revenue from imported goods was higher 13.56 per cent to Rs 46,919 crore. Total refunds during March rose 41 per cent to Rs 19,615 crore. After adjusting refunds, net GST revenue stood at over Rs 1.76 lakh crore in March 2025, a 7.3 per cent growth over the year-ago period.       - Business Standard 02 th March, 2025