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: empanelment :: ACCOUNTING STANDARDS :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: Central Excise rule to resale the machines to a new company :: TDS :: cpt :: VAT RATES :: list of goods taxed at 4% :: articles on VAT and GST in India :: due date for vat payment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARD :: form 3cd
 
 
News Headlines »
 How will goods and service tax impact state revenues?
 Tax officers can issue certificates to avoid taking TDS from NRIs
 India is second most complex tax jurisdiction
 How to link your Aadhaar and PAN details to file income-tax returns
 How to calculate capital gains tax on property sold at less than stamp value?
 Return Filing - Under GST, this is how you will file tax returns from July 1
 Income tax filing FAQs part 1
 Filing Income Tax Returns? Things To Keep In Mind As Deadline Approaches
 Filing of online return for 4th quarter of 2016-17- extension of period thereof.
 New tax accounting standards may reduce leeway for infrastructure companies
 GST – CONCEPT & STATUS – As on 01st May, 2017

Tax department to stiffen penalty on hidden cash
March, 03rd 2007

The move will encourage tax compliance amongst people and is not aimed at increasing tax collection
 
Tax authorities have given another incentive to pay your taxes on time. The department has decided to penalize those whose undisclosed income is found during searches, even if they own up and pay the tax.

A search operation is an income tax raid, where in tax authorities search for and confiscate undisclosed income.

This is a part of the Finance Bill, 2007 presented by finance minister P Chidambaram in Parliament on Wednesday. It says, The assessee shall be liable to pay by way of penalty, in addition to tax, if any payable by him, a sum computed at the rate of 10% of the undisclosed income of the specified year.

The amendment is set to take effect from Thursday and will apply to assessments made during the next fiscal after June 1, 2007.

Till now, the department had not imposed any such penalty on those who cooperated with them during search operations. The finance ministry hopes that the move will encourage tax compliance amongst people and is not primarily aimed at increasing tax collections.

What will it mean to you
Assessee shall be liable to pay penalty computed at the rate of 10% of concealed income
The department had not imposed the penalty on those who cooperated
Amendment in tune with the revenue dept drive to increase tax compliance
 
The amendment would be in tune with the revenue departments recent drive to increase tax compliance amongst people as well as to increase revenue collections. The department has also increased the number of survey operations and has found over Rs 1,000 crore of undisclosed income in this fiscal. In a related provision, the government proposes to substitute Sec 248 of the Income Tax to provide that where under an agreement or other arrangement, the tax deductible on any income, other than interest, under section 195 is to be borne by the person by whom the income is payable, and such person having paid such tax to the credit of the Central Government, claims that no tax was required to be deducted on such income, he may appeal to the commissioner (Appeals) for a declaration that no tax was deductible on such income.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Custom Software Development Outsourcing Custom Software Development Offshore Cus

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