Shome may clip taxman’s powers
Tax Administration Reform Commission is considering whether the judicial powers given to the tax assessing officers should be reviewed or not.
New Delhi: Tax Administration Reform Commission (TARC) chairman Parthasarathi Shome said on Wednesday that the commission will soon look into amalgamation of direct tax and indirect tax departments. He said the commission is also looking into the issue whether the judicial powers given to the tax assessing officers should be reviewed.
“In business practices, companies pay corporate income tax, companies also pay Value Added Tax (VAT) or GST. If we amalgamate Direct Tax and Indirect Tax Departments, it would be so much easier for companies to file returns and so on. We in commission (TARC) are going to look into the issue,” Dr Shome said at an event organised by ASSOCHAM.
He said that among 60 per cent of countries that were surveyed by OECD, a vast majority of countries have already amalgamated the-se two departments.
Faced with complaints about tax assessment officer (AO) resorting to unsubstantiated dem-ands on a tax payer, Dr Shome said that TARC is looking into the issue - whether the judicial powers given to the AO should be reviewed.