Direct tax collection increases by 17 per cent in North East

Raju Das
 SHILLONG, April 26 – The Northeastern States have overshot the national average in direct tax collection by three per cent during 2016-17 probably due to the impact of “Operation Clean Money.”

The All India direct tax collection has increased by 14 per cent during 2016-17 (March) in comparison to 2015-16, but in the North East the average direct tax collection increased by 17 per cent in the same period.

A senior Income Tax official told The Assam Tribune that the All India total direct tax collection stood at Rs 8,48,000 crore during 2016-17 against Rs 7,42,000 in 2015-16.

Therefore, there was a 14 per cent increase in direct tax collection throughout India during 2016-17 in comparison to the previous year.

However, in the North East the direct tax collection increased by 17 per cent in 2016-17 in comparison to the previous fiscal. The total direct tax collection was Rs 5,198 crore in 2015-16. This figure jumped to Rs 6,092 crore in 2016-17 (till March) in the region, the IT official said.

He said the demonetisation policy did play a factor in the increased direct tax collection. “The demonetisation policy had a good affect and more people are becoming tax compliant. In short, the policy did help in making several people tax abiding citizens,” the official said.

He was of the view that the policy has made the people “aware” about the importance of filing their Income Tax on time and work for the overall welfare of the country. “Many people feel that they have a role in contributing towards nation building by filing their returns on time and in a transparent manner,” the official said.

Regarding “Operation Clean Money,” he said that the process of investigation would continue for the next couple of years and it would take some time to be completed. “The investigations would be an ongoing process, but we may see the completion of probe in some of the cases where defaulters comply with tax laws of the country,” he said.

On the present system of filing returns, the official said, 99 per cent of the filing is now done online. “There is hardly any interface with IT officials and there is hardly any paper documentation these days. The system has become immensely transparent,” he added.

The IT department is also conducting awareness programme with employers, especially in the private sector so that there is “no mismatch” in the tax return filings.

Source : http://assamtribune.com