The government is considering options such as mediation or a permanent dispute resolution system with pre-specified benchmarks on the lines of the ‘Vivad Se Vishwas’ scheme have been discussed, a person familiar to the pre-budget discussions said.
“Various options have been discussed… A final view should be taken shortly,” the person told ET. The idea is to prevent disputes and reduce litigation. According to the FY21 budget, more than Rs 8 lakh crore is locked up in direct tax disputes. It is being felt that along with the already introduced faceless assessment, an alternate settlement mechanism can be very effective at keeping disputes contained and would also be appreciated by the global investors.
“This is especially topical in today’s times when many potential international tax disputes are likely to revolve around facts and apportionment of global income in the light of legislative changes and principles inspired by OECD’s (Organisation for Economic Cooperation and Development) Base Erosion and Profit Shift (BEPS) project,” said Sudhir Kapadia, national tax leader at EY India.
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3 Comments on this Story
Ashu Bajaj44 days ago
why don't they abolish income-tax altogether and bring in transaction tax to be charged by the
bank. Any type of
deposit, any type of
withdrawal , from the bank will be taxed at x %. So this way all the citizen of India be it farmers or xyz will contribute.
I don't know many would think this to be a crazy idea but just see the crores of RTGS, NIFT, CREDIT CARDS,CHEQUES transaction happen everyday and then calculate per day income, and multiply it with 365 or minus holidays.
Spshaha44 days ago
Additional benifits given to are to be checked properly by reverification process
Rerification is performed to benifits to it department only why?? Why not to tax payer.
Praker 45 days ago
First reduce income tax.. and widen the income tax net... make it 1 to 40L just 10 percentage.. 40 L to 1 CR at 20 percentage.. 1 CR and above at 30 percentage.. for people with income up to 5L, offer 4K rebates, so that they can file income tax returns and get back the money. Remove tax soaps to housing loan as real estate is the most corrupt sector. Price going up every year since 1990 because of tax soaps.. make sure TDS applicable for all income above 10000.