Government reportedly working on a policy to reward honest tax payers

The government is formulating an ambitious policy, under which taxpayers who pay their tax honestly will be honored and encouraged. Officials said in New Delhi on Sunday that under this, such taxpayers will be assisted in different ways by various government departments and tax departments.

Officials said that for this, a committee has been formed under Central Board of Direct Taxes (CBDT). This committee is making comprehensive norms to give such incentives and benefits to the taxpayers who have completed the tax on time. After the review of the proposal, the Finance Ministry will send it to the Prime Minister’s Office (PMO). After that it will be approved by the Union Cabinet. In Bangalore, a Cabinet note has been prepared and sent to enhance the capacity of the Central Processing Center (CPC) of the department.

He said that the capacities and automation expansion of the CPC will be able to issue refunds to the small taxpayers immediately within a few hours instead of few days. Under the larger plan, honest taxpayers will be empowered to prioritize service. They will get priority in the use of public services on tolls in airports, railway stations and highways.

In a meeting with the senior tax officials last year, Prime Minister Narendra Modi had asked the department to increase taxpayer services and ensure that proper taxpayers are given due importance. It is proposed that the taxpayers who are continuously paying their taxes or are filing returns will be rewarded.

Such taxpayers can be given a unique identification number. Or their local account number (PAN) can be given special status.