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: ACCOUNTING STANDARD :: TAX RATES - GOODS TAXABLE @ 4% :: cpt :: VAT Audit :: VAT RATES :: form 3cd :: ACCOUNTING STANDARDS :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: Central Excise rule to resale the machines to a new company :: due date for vat payment :: TDS :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment
 
 
News Headlines »
 What to do if you get an income tax notice after demonetisation
 SBI calls for raising income tax exemption limits
 Did you know? The tax exemption on your HRA
 Income Tax Department expands list of deposits, transactions under scrutiny
  Income-tax Act, 1961 read with Rule 114E of Income-tax Rules, 1962
 Master Directions on Access Criteria for Payment Systems
 RBI-Scheduled Bank's Statement of Position in India as on Friday, January 06, 2017 (Revised)
 3 Big Mistakes To Avoid This Tax Season
 The Top 5 Tax Stories Of 2017
 Are multiple service tax rates in the offing?
 All you need to know about claiming tax break on HRA

Tax officials to go slow on refunds
March, 19th 2007

While e-filing of returns, at least by corporate tax payers, was expected to pave the way for faster refunds, the story is much the same and this time the game of passing the buck is being played.

Tax officials in the field offices say the Central Board of Direct Taxes (CBDT) has instructed them to go slow on issuing refund cheques.

But CBDT spokesperson A K Sinha denied any such missive. "We have instead asked all officers to ensure that cheques are handed out by March,"he said.

He may not be technically wrong since the refund cheques would indeed be dispatched before the end of the financial year on March 31.

Officials in the field offices in Mumbai, which generates the maximum revenue for the government, say that cheques for all those whose tax refunds are pending, the pay-back procedure will start around March 28 so that the amount is actually credited in the bank account in the first week of April, which is the next financial year.

So, all the corporate tax payers who have refund claims of Rs 25 lakh or individuals with refunds of over Rs 1 lakh will help the government show better than budgeted tax collections.

"While the individual assessee is not being denied any claims, some of the large companies may have to wait for a few extra days,"admitted a North Block official, adding that this could add up to Rs 5,000 crore to Rs 7,000 crore.

But it's not a sob story across the country. While cities like Hyderabad have reported that there were no refund claims pending, companies and individuals in Mumbai and Delhi, which account for over 50% of the revenue collections, are complaining the most.

In certain cases, refund claims that had been dragging on for 14 years or so have been cleared, an official said.

The go-slow on refunds comes despite soaring collections and little evidence - at least so far - of the revenue department falling short of the revised direct tax collection target of Rs 229,000 crore.

For instance, most of the top 100 taxpayers in Delhi have paid advance tax that is nearly 50% higher than what they paid last year. Even on customs, the government may end up overshooting the target of Rs 81,800 crore, while service tax collections are on course to meet the revised estimates of Rs 38,169 crore.

In fact, the transfer of refund bill to the next financial year is said to be one of the reasons for projecting a 16.7% rise in direct tax collections when the mop up has risen much higher in the last few years.

Besides, officials said, it may not be possible to grow so fast every year. This year, the government is also hoping for an unprecedented increase since it will benefit from the impact of two assessments during the same financial year.

The overall buoyancy in the economy, reflecting in higher incomes, and the steps initiated by the finance ministry to clamp down on evaders have helped the Centre show unprecedented growth in tax collections. Excise duty has been the only laggard this year.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - About Us

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