I-T to scan tier-II cities to bring more people in tax net
   
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I-T to scan tier-II cities to bring more people in tax net

Last Updated: Sunday, May 24, 2015, 18:05
 
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New Delhi: The Income Tax department has decided to use technical intelligence and pay special focus on tier-II cities like Jaipur, Surat and Lucknow among others, to bring more and more people living in these "progressive" cities under the tax net.

The new plan is expected to be set in action as early as next month and is part of the governments' recent directive to the taxman and its apex policy making body CBDT to bring in at least 25 lakh new assesses under the tax ambit every month.

The department, senior officials privy to the development said, "will unleash the power of its smart-technical intelligence and business computation databases to tap on these potential entities and ensure that the overall tax regime remains non-adversarial and non-intrusive while undertaking this task".

These strategies to "significantly expand the tax base" will be discussed threadbare as a key point by the top brass of the I-T department and Central Board of Direct Taxes (CBDT) during their two-day annual conference begining Monday.

Finance Minister Arun Jaitley will inaugurate the meeting held traditionally over the years.

"A trend analysis done by CBDT and other agencies point towards the fact that the tier-II cities have a very large untapped potential in terms of getting more individuals and entities to come under the tax paying bracket," the officials said.

These cities are seen as progressive on the revenue front.

"The department has decided to undertake this task in a mission mode," a senior I-T officer said.

CBDT Chairperson Anita Kapur had indicated the taxman's intention in this regard when she recently wrote to the field offices of the I-T department that the "number of existing income tax payers is low compared to the potential and the gap between the potential and the actual tax payers appears to be wider in the case of tier-II cities and towns.


PTI

First Published: Sunday, May 24, 2015, 18:05


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