Staff Reporter / NEW DELHI
Prime Minister Narendra Modi has said that India has left behind the tag of tax terrorism and is moving towards an era of tax transparency.
He said that this change has come due to the approach of Reform, Perform and Transform. He said rules and procedures are being reformed with the help of technology. He said “We are performing with clear intentions and at the same time transforming the mindset of the tax administration.”
The Prime Minister was speaking after inaugurating the newly constructed office-cum-residential complex of the Cuttack bench of the Income Tax Appellate Tribunal in Odisha through the virtual mode last evening.
He said that the colonial images of the tax- collector as the exploiter and the taxpayer as the exploited need to change. The Prime Minister underlined a number of measures which have been taken by the government in easing the tax burden in different sectors of the economy.
The Prime Minister also appealed to the people to continue with the preventive measures like wearing face masks and social distancing to deal with covid-19 infection.
The Prime Minister said when the difficulties of the country’s wealth creator are reduced, they get protection, then their trust grows in the country’s systems. He added the result of this growing trust is that more and more partners are coming forward to join the tax system for the development of the country. The Prime Minister remarked that along with the reduction of tax and simplicity in the process, the biggest reforms that have been done are related to the dignity of honest taxpayers, to protect them from trouble.
Mr.Modi said the long period of slavery had made the relationship between tax payer and the tax collector that of exploited and exploiters. He said over the years, the government has moved ahead with this vision and today’s taxpayer is witnessing huge changes and transparency in the entire tax system. He said when the taxpayer does not have to wait months for a refund and gets a refund within a few weeks, then he feels transparency.
The Prime Minister attributed zero tax on income up to Rs 5 lakh in the country as a huge benefit being given to our youth of lower middle class today. He added that the new option of income tax given in the budget this year, has simplified the lives of the taxpayer. He added Dividend Distribution Tax has also been scrapped to increase investment in India’s equity market. GST has also reduced the tax net and the tax rate in most goods and services has also come down.