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 :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARDS :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: VAT RATES :: 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 :: cpt :: VAT Audit :: Central Excise rule to resale the machines to a new company :: TDS
 
 
« Indirect Tax »
 GST may lead to better operating profit margin for multiplex operators
 Indirect taxes must equal direct taxes
  Income Tax dept issues notices to ‘farmers’ claiming suspect agricultural income
 GST would match or be lower than the multiple indirect taxes on real estate
 Tax incidence under GST lower than current indirect taxes
 Here's the complete list of pre-GST discounts being offered by companies
 Applicability of Explanation 2 to Section 132B of the I.T. Act, 1961- reg.
 Here’s all you need to know about TDS and why it is deducted
 New indirect tax regime
 Income tax rates, tax-free limit to stay unchanged
 Revised tax reform bill to benefit consumers

Govt firm on arresting indirect tax evaders
March, 08th 2013

The government is firm on going ahead with the proposed amendments that will empower tax authorities to arrest those who collect service tax but do not deposit it with the government within the specified time.

The finance ministry's determination to steer the amendments comes against the backdrop of stiff protest from businessmen and a section of politicians, including from Congress. Dismissing concerns that the proposal would impact small taxpayers, senior finance ministry officials told TOI that a threshold of Rs 50 lakh would ensure that only large and willful defaulters are penalized.

"Let them criticize. How can you collect money from people and not deposit it with the government? It is the government's money," said a top official, who did not wish to be identified.

In the Finance Bill, the government has proposed to incorporate a new clause that will authorize excise commissioners to order the arrest of a person for "specified offences particularly non-payment of service tax".

While a bulk of the political opposition has been focused on the service tax issue, amendments to the customs and central excise laws that would make evasion a cognizable offence, which will also be non-bailable in certain cases, has also raised fears of misuse.

Similar provisions in the previous budget had to be rolled back after strong opposition. The perception that huge discretionary powers had been vested in tax officials had also attracted strong criticism.

Government sources, however, dismissed fears of harassment. They said finance minister P Chidambaram was clear about plugging evasion at any cost and he had assured taxpayers of a non-adversarial regime.

They explained that the move was necessitated by a Supreme Court order of 2011 where the apex court had held that customs and central excise duty evasion and other offences, which were non-cognizable, were also bailable. The tax department said the verdict meant that anti-evasion agencies had to let off evaders even in cases of evasion of high amounts.

As a result, the government has proposed amendments to the law to check against misuse. However, officials said that in almost all cases, the threshold has been kept high so that smaller offenders are not harassed or inconvenienced.

For instance, under the Central Excise Act as well as the Customs Act, threshold for evasion has been kept at Rs 50 lakh. In case of non-declaration of goods being imported or exported, the cut-off is Rs 1 crore.

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

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