Income Tax Eastern Region has collected tax amounting to Rs 1.93 billion during first two months (July-August) of financial year 2005-06, as compared to Rs 1.67 billion collected in corresponding period of the last year.
While talking to newsmen here on Tuesday, Regional Commissioner Income Tax Haji Ahmad said that the Eastern region, against a target of Rs 14.25 billion, had collected Rs 16.4 billion during the financial year 2004-05.
Talking about the pending cases, he said that out of 17,679 cases, 16,321 have been settled, while remaining 1,358 are pending at the commissioner level. As many as 13,093 cases have been disposed of, out of total 22,130, leaving 9037 pending cases at the tribunal level. He said: "Every person who is liable, has to submit tax return till September 30, which is the last date, except those who are exempted under the rules."
He ruled out any possibility of extension in the last date for filing of income tax returns. However, an individual, who has suffered loss in business, is not required to submit return, but private limited companies are bound to submit income tax returns, irrespective of loss or profit.
Those who are filing tax returns for the last two years, but have closed down their business, need to submit their returns this year. However, the loss, if some one has suffered this year, could be adjusted against the next year's income, he added.
He further said: "The senior citizens can also benefit from the schemes and they could get rebate of 50 percent up to income of Rs 400,000."
Earlier, the universal assessment scheme was subject to certain conditionalities, which now have been removed to facilitate the taxpayers, he maintained.
He further said that every owner of plot, house or flat of an area of 250 square yards would have to submit tax return failing which Rs 500 per day fine would be charged from the defaulters. The government has already abolished other four categories, including telephone subscriber, foreign travelling except Umrah or Haj; while landowners (except disabled and widows), having land of 250 sq.yards, or more are liable to file return, he maintained.
The government has restricted the filing of tax returns only to landowners of 250 sq.yards , so as to broaden the tax net, he maintained.
Talking about the facility provided by the government to the taxpayers, Haji Ahmad said the retailers with annual turnover of Rs 5 million are required to pay tax at 0.75 percent ratio. The manufacturers selling their products directly to the customers would have to pay only one-percent of income tax and two-percent of sales tax. The corporate sector can also enjoy the facility of Universal Self-Assessment Scheme and their returns would be accepted as final. Similarly, the employees whose tax is being deducted at source are not required to submit their returns, however their employers would have to furnish a certificate in this regard.
These measures would not only facilitate the taxpayers but also cause substantial decline in the litigation.
Apart from this the contact between the taxpayers and department, under the new facilities would be minimised, which would help eradicate corruption, he maintained.
CBR did not select even a single case for audit during the financial year 2004-05, but the policy is uncertain, as the government has not yet announced any decision in this regard.
Through another facility, the assessees are allowed to submit revised tax return after payment of 10-percent additional income tax, he said. However, desk audit to check mistakes in the return, like calculation of expenditures and income, would continue as usual.
"We found a large number of mistakes regarding miscalculation of depreciation in companies' cases," he said.
To a query, he said that the Income Tax Eastern Region had received 119,000 tax returns during the last year.
Comments
Comments are closed.