look news india
In the weeks leading up to August 5, the tax department has issued more than a thousand notices to companies in the country for tax recovery, causing panic in the business sector.
These notices were for the recovery of outstanding tax of the financial year 2017-18. However, after the company's noise increased in this matter, the country's top tax authority has now started working. India's top companies were on the backfoot out of fear due to the flurry of notices regarding IMT and GST. Not only this, the certainty of tax also got blurred. As a result, India's top indirect tax authority has woken up and is now forced to intervene in the whole matter. According to the Central Board of Indirect Taxes and Customs (CBIC), when a senior regional officer raises a tax matter before his superior, top officials of CBIC, the GST Council under the Union Finance Ministry and State Finance Ministries come to know of the legal issue. Proposed show cause notice. At this time, CBIC reminds the investigating officers to maintain ease of doing business with regular taxpayers while investigating the matter.
Not only this, a new problem has emerged which is complicating the entire chapter. The same tax law is interpreted differently by tax officials and taxpayers. Or treat the industry according to a definition different from the official view. Therefore, in such cases, senior field officers investigating the case should consult higher officials before issuing a show cause notice, the Central Board of Indirect Taxes and Customs (CBIC) said.
After about five months, CBIC has remembered the seriousness of this incident. In fact, the officials should have woken up five months ago, during which notices were being issued to high-profile companies in the country. The top companies of the country which have been affected by the tax notices include Infosys Limited, HDFC Bank, Go Digit, Star Health and Policybazaar, besides foreign airlines serving in India. Tax recovery notices of Rs 32,400 crore have been sent to Infosys, HDFC Bank, Go Digit, Star Health and Policybazaar have been sent Rs 2,250 crore. Apart from this, notices have been sent to foreign airline companies working in India for tax recovery of Rs 10,000 crore.
Companies are scared of the flood of tax notices
The same tax law is interpreted differently by tax officials and taxpayers, leading to confusion.
The Central Board of Indirect Taxes and Customs has woken up after a delay of five months
