Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARDS :: VAT RATES :: cpt :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: VAT Audit :: form 3cd :: articles on VAT and GST in India :: ACCOUNTING STANDARD :: Central Excise rule to resale the machines to a new company :: TAX RATES - GOODS TAXABLE @ 4% :: due date for vat payment :: empanelment :: list of goods taxed at 4%
 
 
General »
 Companies should invest in upgradation of tax technology
 Top House tax writer suggests measures to mitigate the impact of the border tax
 Consumer goods distributors, wholesalers to bear the brunt of GST
 GST classification woes to continue
 There will be no tax on farm or agriculture income
 RBI, Income Tax Acts to be amended for electoral bonds, Jaitley says
  Clarifications on the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016
 I-T zeroes in on Mumbai trader in first crackdown after demonetisation
  Tax queries answered by Dilip Lakhani, Senior Chartered Accountant
 Income Tax Department Failed To Unearth Black Money Despite Information
 Govt filing twice as many cases as private cos in Supreme Court

Cases for tax scrutiny will be selected by machines
November, 30th 2016

The public need not worry about harassment from Income Tax officials as their discretionary powers in the scrutiny of cases are limited, according to a senior finance ministry official.

“The cases for scrutiny will be chosen by machines and all the procedures surrounding the income xax notices will be done through machines,” a senior Revenue Department official told The Hindu. “There will be no scope for individual discretion of the income tax officers. People need not worry about harassment from the officers.”

However, this does not take into account the procedures that must be followed after a case comes up for scrutiny.

At the moment, cases are selected for scrutiny based on two methods: computer selection and manual selection. The majority of cases are chosen by the computer, according to experts, with only a few being chosen manually, based on certain parameters.

“Only 2-3 per cent of all cases are picked up for scrutiny,” Surendra Prakash Singh, Senior Director at Deloitte India said. “The bulk of this, about 70 per cent, is computer selection. If search or survey has been conducted, or if red flags have been raised in the past or if transfer pricing adjustments have been made above the permissible limit, then that will attract manual scrutiny.”

The government is working towards tightening the parameters under which manual scrutiny is allowed, thereby reducing the discretion of the assessing officer, Mr. Singh added.

However, according to experts, the discretionary powers of the income tax officials remain the same as before.

“After the scrutiny case comes up, the next step is for the assessee to send the evidence to prove that the cash deposited is a reasonable amount in keeping with the declared income information, and deciding that is down to an individual officer,” Kuldip Kumar, Partner & Leader, Personal Tax, at PwC India said.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System developers CMS developers Content Management Solutions CMS Solutions CMS India Content Management System India CMS development India Website CMS Website Content Management India Portal CMS India CMS Outsourcing CMS Vendor Complete CMS Custom CMS Services

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions