Skip to main content

9- million high- value deals minus PAN under I- T scanner

By
Armed with information on about nine million high value transactions without permanent account numbers (PANs) over a span of eight years, the income- tax department plans to initially issue 700,000 letters to individuals in this regard, asking them to disclose all about their spending.
“The department has these details for the period 2009- 10 to 2016- 17,” the finance ministry stated on Thursday.
The department has scrutinised the annual information returns for high value transactions — cash deposits of over Rs. 10 lakh in a savings bank account, sale/ purchase of immovable property valued at Rs. 30 lakh or more, etc — and many of these did not have a linked PAN. These returns are information received from third- party sources like banks, mutual funds and registrars about such high- value transactions. The department had, with the help of inhouse computer techniques, grouped such non- PAN transactions and identified 700,000 ‘high- risk clusters’, having around 1.4 million non- PAN transactions. It is to now issue letters to the parties in these transactions, asking them for their PAN number against these.
There are 250 million PAN holders but only 54.3 million taxpayers, as on the current assessment year.
This step comes amid the government’s offering a chance for tax evaders under a four- month voluntary income disclosure scheme, closing on September 30, to escape prosecution if they reveal what they had not till now, paying a little extra in return, of 45 per cent in three instalments by September 30, 2017. This comprises a tax rate of 30 per cent, beside a Krishi Kalyan Cess and penalty of 7.5 per cent each. Of the amount to be paid, a fourth needs to be made by November 30, another fourth by March 31 and the remaining half by September 30 next year. For the convenience of people to whom letters will be issued, the department has developed a new functionality on the e- filing portal, wherein one may own up to transactions and provide a structured response. The parties can log in to their e- filing website and by quoting aunique transaction sequence number provided in the letter sent to them, can easily link their transaction with their PAN, the ministry said. To reduce interface with tax officials, the department has asked people who receive such letters to “ cooperate” and use the departmental helpline to ask questions.
That apart, principal chief commissioners have been asked to scrutinise “non- filers” and those who have not given a response to the tax authorities about non- filing of returns.
Business Standard New Delhi, 22 th July 2016

Comments

Post a Comment

Popular posts from this blog

New income tax slab and rates for new tax regime FY 2023-24 (AY 2024-25) announced in Budget 2023

By
  Basic exemption limit has been hiked to Rs.3 lakh from Rs 2.5 currently under the new income tax regime in Budget 2023. Further, the income tax slabs in the new tax regime has been changed. According to the announcement, 5 income tax slabs will be there in FY 2023-24, from 6 income tax slabs currently. A rebate under Section 87A has been enhanced under the new tax regime; from the current income level of Rs.5 lakh to Rs.7 lakh. Thus, individuals opting for the new income tax regime and having an income up to Rs.7 lakh will not pay any taxes   The income tax slabs under the new income tax regime will now be as follows: Rs 0 to Rs 3 lakh - 0% tax rate Rs 3 lakh to 6 lakh - 5% Rs 6 lakh to 9 lakh - 10% Rs 9 lakh to Rs 12 lakh - 15% Rs 12 lakh to Rs 15 lakh - 20% Above Rs 15 lakh - 30%   The revised Income tax slabs under new tax regime for FY 2023-24 (AY 2024-25)   Income tax slabs under new tax regime Income tax rates under new tax regime O to Rs 3 lakh 0 Rs 3 lakh to Rs 6 lakh 5% Rs 6
Post a Comment
Read more

Jaitley plans to cut MSME tax rate to 25%

By
Income tax for companies with annual turnover up to ?50 crore has been reduced to 25% from 30% in order to make Micro, Small and Medium Enterprises (MSME) companies more viable and also to encourage firms to migrate to a company format. This move will benefit 96% or 6.67 lakh of the 6.94 lakh companies filing returns of lower taxation and make MSME sector more competitive as compared with large companies. However, bigger firms have shown their disappointment since the proposal for reducing tax rates was to make Indian firms competitive globally and it is the large firms that are competing globally. The Finance Minister foregone revenue estimate of Rs 7,200 crore per annum for this for this measure. Besides, the Finance Minister refrained from removing or reducing Minimum Alternate Tax (MAT), a popular demand from India Inc., but provided a higher period of 15 years for carry forward of future credit claims, instead of the existing 10-year period. “It is not practical to rem
1 comment
Read more

Don't forget to verify your income tax return in August: Here's the process

By
  An ITR return needs to be verified within 120 days of filing of tax return. Now that you have filed your income tax return, remember to verify it because your return filing process is not complete unless you do so. The CBDT has reduced the time limit of ITR verification to 30 days (from 120 days) from the date of return submission. The new rule is applicable for the returns filed online on or after 1st August 2022. E-verification is the most convenient and instant method for verifying your ITR. However, if you prefer not to e-verify, you have the option to verify it by sending a physical copy of the ITR-V. Taxpayers who filed returns by July 31, 2023 but forget to verify their tax returns, will get the following email from the tax department, as per ClearTax. If your ITR is not verified within 30 days of e-filing, it will be considered invalid, and may be liable to pay a Late Fee. Aadhaar OTP | EVC through bank account | EVC through Demat account | Sending duly signed ITR-V through s
Post a Comment
Read more