Connect with us

Business News

Trust-based taxation system driving better collections: Finance Minister

Published

on


Trust-based taxation system resulted in improved collections: Finance Minister

New Delhi:

Finance Minister Nirmala Sitharaman on Sunday said the trust-based taxation system introduced by the government has improved collections and increased the number of return filings.

In his message on 163rd Income Tax Day, the Finance Minister lauded the department for achieving revenue collection of over Rs 14 lakh crore in the last financial year and hoped that this momentum would continue in the current financial year as well.

Direct tax collections rose to Rs 14.09 lakh crore in 2021-22, registering a year-on-year growth of 49.02 per cent due to strong growth in collections from personal and corporation tax.

For the current financial year, the government has estimated direct tax collection at Rs 14.20 lakh crore.

The Finance Minister said that the government has addressed several age-old issues and removed structural deficiencies related to direct taxes to promote ease of living and ease of doing business.

Reforms introduced by the government in recent years have ensured a trust-based tax system.

“Taxpayers on their part have reaffirmed this belief-based approach, as evidenced by the trend of better tax collection and increase in the number of income tax returns filed,” she said.

On behalf of the administration, he said that technology has been effectively used to enhance the services of taxpayers, reduce discretion in decision making and improve transparency, fairness and speed of departmental processes.

He said that the Income Tax Department should be commended for successfully implementing the policy of reforms initiated in the last few years and effectively re-orienting itself as a taxpayer centric organization.

The Finance Minister urged the Income Tax Department to prepare itself for the development of the next 25 years.

“As we collectively prepare ourselves to take our country to the next stage of growth and development in the eternity of time, we hope that the Income Tax Department will reinvent itself to take forward the progressive policies of the Government. Will dedicate and use technology to further enhance the quality of taxpayer services,” she said.

Speaking on the occasion, Minister of State for Finance Pankaj Choudhary said that the responsibility of the tax department is not limited only to efficient and effective tax administration, but also to honor honest taxpayers and provide better taxpayer facilities.

Revenue Secretary Tarun Bajaj in his message lauded the department for proving itself as an efficient organization by adopting positive changes and for providing time bound services to the taxpayers.

He said that various taxpayer outreach programs organized by the department would go a long way in creating an atmosphere of mutual trust and respect between the taxpayers and the department.

Central Board of Direct Taxes (CBDT) chairman Nitin Gupta urged officials not to rest on their laurels and keep working hard.

,