New Delhi. Prime Minister Narendra Modi will launch the ' Transparent Taxation - Honoring the Honest ' platform on Thursday . He said that efforts will be made to improve and simplify our tax system. The Prime Minister will inaugurate the next phase of tax reforms in order to make tax compliance easier for taxpayers and to reward tax payers with honesty. Modi tweeted on Wednesday, "The Transparent Taxation - Honor of Honest" platform will be launched on Thursday, August 13 at 11 am. This will further strengthen efforts to improve and simplify our tax system. This will be beneficial for many honest taxpayers whose hard work empowers the country to move forward. "Finance Minister Nirmala Sitharaman"In fact, this will be an important step towards providing a simple and transparent taxation system for India," wrote on Twitter. According to an official statement released on Wednesday, the events are being organized through video conferencing It will include various industry boards, trade organizations, chartered accountant associations and well-known taxpayers. Although the statement did not say anything about the reforms, but with the introduction of the platform, the reforms on the direct tax front in the last six years are expected to be taken further. The reforms include reducing the company tax rate from 30 per cent to 22 per cent last year and 15 per cent for new manufacturing units and removing dividend distribution tax, without assessing officers and taxpayers.
"Under the tax reforms, the emphasis has been on reducing tax rates and simplification of direct tax laws," the statement said. A number of initiatives have also been taken by the CBDT (Central Board of Direct Taxes) to bring efficiency and transparency in the functioning of the Income Tax Department. The Charter (Declaration) for taxpayers was announced in the Budget for the year 2020-21. Under this, they are expected to be given statutory status and empowered by the Income Tax Department through time bound service to the citizens. Finance Minister Nirmala Sitharaman had said in the budget speech that the charter will ensure trust between the taxpayer and the administration, Harassment will end. Also, the efficiency of the department will increase. According to the statement, tax reforms also include bringing more transparency in official communications through the recently introduced Document Identification Number (DIN). Under this, a unique computer-generated document identification number is printed on every communication or correspondence of the department. Similarly, to make compliance easier for taxpayers, the Income Tax Department has started submitting the already filled Income Tax Return Form, So that compliance can be made even more convenient for individual taxpayers. According to the statement, compliance norms have also been simplified for startups. For the purpose of providing resolution of pending tax disputes, the Income Tax Department has also introduced the Direct Tax Disputes to Trust Act under which declarations are currently being filed to settle the disputes. Initial monetary limits have also been raised for filing departmental appeals in various appellate courts to ensure effective reduction of complaints / lawsuits of taxpayers. According to the statement, "Several measures have also been taken to promote digital transactions and electronic methods of payment". not only this, The Income Tax Department has also made several efforts to make compliance easier for taxpayers during the 'Kovid period'. Under this, the statutory deadline for filing returns has been extended and rapid refunds have been issued to increase liquidity or cash flow in the hands of taxpayers.