JAMMU, JAN 16: The Income Tax Department is all set to step up its campaign to recover the arrears of income tax from the defaulters in Jammu and Kashmir. Talking to Greater Jammu here today, the Principal Commissioner of Income Tax J&K, R N Sahay said, “The recovery initiative is part of the nationwide campaign launched by the Union Finance Ministry after the process of assessments was completed on 31st Dec 2017 which earlier used to be completed by the 31st March.”
The Taxman said that the Income Tax Department values the assessees as the most precious entities as it is the tax payers’ whose money is utilized for the nation’s development. He informed that the list of defaulters in J&K has already been prepared and during the quarter ending 31st March, focus shall be on recoveries.
Sahay said that the Assessing Officers have been strictly directed to deal with the assessees quite respectfully despite being defaulters and ensure that no unnecessary inconvenience is caused to them. While expecting the assessees to extend full cooperation to the officers of the Income Tax Department, he asserted that if the defaulters do not respond positively despite being provided sufficient time to clear the arrears then the Department shall initiate appropriate action under law which may extend to freezing bank accounts and attachment of properties. The Taxman said that if the Department feels appropriate it could even launch prosecution against the non-cooperating defaulters.
The Principal Income Tax Commissioner further informed that besides the tax recovery, the Department will also be conducting a limited survey during this quarter to recover arrears.
Sahay said that a target of 21% increase has been set for the department and that he is hopeful of crossing the set target with the functionaries of the department putting in their best in making the campaign successful.
It is pertinent to mention here that India’s net direct tax collections increased 18.2% in April-December 2017 from a year ago, with advance tax payments in December adding substantially to the kitty.
Gross direct tax collections (before adjusting for refunds) increased 12.6% to Rs 7.68 lakh crore. Refunds amounting to Rs 1.12 lakh crore were issued during the first nine months of the current fiscal year, yielding net direct tax collection of Rs. 6.56 lakh crore.
As much as Rs. 3.18 lakh crore has been received as advance tax up to December 2017, reflecting a growth of 12.7% over the year-ago period, data released by the government showed. Corporate advance tax payment, an indicator of corporate performance, was up 10.9% in this period as compared to 8.1% rise in the April-September period.
The rise in the case of advance personal income tax was 21.6%. This suggests a better corporate performance in the October-December quarter, though experts said detailed numbers are needed to ascertain any recovery.
The sharp improvement in growth of net direct tax collections in the month of December 2017 is supposed to be the benefit of both a healthy pickup in gross collections and a significant contraction in refunds.