J&K tops in North-West Region in widening of income tax base

*Deptt makes inroads in untapped areas due to recent surveys

Mohinder Verma

JAMMU, Feb 13: Notwithstanding the fact that it is facing manpower constraints, the J&K circle of Income Tax Department is leading the North-West Region in widening of tax base as it has added more than 90,000 effective assessees during a short span of 6 months by initiating several measures. The figure will go up further by ending March 31, 2016 as all out efforts are still on in this direction by laying focus on those areas which remained untapped till date.
While expressing concern over the fact that taxpayers’ base in the country is only four percent of the total population, the Prime Minister, Narendra Modi and Union Finance Minister, Arun Jaitley at the start of current financial year had laid stress on widening of the tax base and accordingly Central Board of Direct Taxes (CBDT) issued necessary directions to all the Income Tax circles to lay required focus on this aspect.
The initiatives taken in the light of these directions in the J&K circle have not only shown remarkable results during a short span of time but this circle is also leading three other circles in the North West Region on widening of tax base, official sources told EXCELSIOR.
There were only 84,000 assessees of the Income Tax Department as against 13 lakh PAN card holders across Jammu and Kashmir in June-July last year. Moreover, out of 84,000 assessees only 66923 were the effective assessees (those who are regularly filing their returns), sources said. However, due to numerous initiatives taken by the Principal Commissioner of Income Tax, J&K circle, Sangeeta Gupta and her team the number of effective assessees has risen from 66923 to 157811 as on February 1, 2016.
In this way, J&K circle is leading two circles of Amritsar and one circle of Bathinda in the North-West Region in the widening of tax base, sources further said while disclosing that this remarkable increase in the number of effective assessees is notwithstanding the fact that J&K circle is facing manpower constraints.
It is pertinent to mention here that against posts of three Additional Commissioners, J&K is only having one Additional Commissioner. Moreover, one post of Assistant Commissioner is also lying vacant during the past quite long time. Besides, the lower staff in the J&K circle is negligible.
About the measures initiated to widen the tax base, sources said that during last six months thousands of notices were issued across the State and this played vital role in meeting the directives of the CBDT. Moreover, opening of offices in Katra, Samba and Baramulla helped the Income Tax Department in making addition to the effective assesses.
It is worthwhile to mention here that the Department had to face many odds in opening of office in Baramulla, which is now playing crucial role in tax collection as well as redressing the grievances of the assessees at their door step.
They further disclosed that J&K’s growth rate has increased by 15.26% as compared to the previous year and figures would go up considerably by ending March 31, 2016.
About the recent surveys carried out by the department in different parts of Jammu, sources said that on the directions of Principal Commissioner of Income Tax, Sangeeta Gupta focus has been laid on those areas which remained untapped till date and this also played significant role in widening of tax base. “One survey in such areas has resulted into filing of numerous returns”, they added.
“Basically, the small traders and businessmen were under the impression that they would go scot free even after evading tax but now a message has gone them loud and clear that whosoever indulges in evasion of tax will have to face the music”, sources said while disclosing the recent surveys is a paradigm shift in the policy of the department in J&K circle.
They informed that recent survey in five-six premises of a group has led to detection of Rs 1.25 crore concealed income while as other surveys have led to deposition of tax to the tune of several lakhs of rupees. “This approach of the department will continue in future also”, sources added.