New Delhi: In a bid to widen the tax base, the income tax department this year will be extremely watchful of the corporates' pay package that comes in the form of allowances, perks or other benefits, as per a daily newspaper.
For instance, the expenses incurred on luxury cars, property purchase, coaching centres, earnings on fixed deposits will be closely watched by the I-T department.
So if your transactions or dealings are not in concordance with the income shown in your tax returns, you might face the attention of the tax department.
Not showing multiple fixed deposit accounts while filing tax, Educational institutes giving honorarium to their guest employees, passing off the employees as consultants to save TDS will be highly scrutinised by the tax department.
The Income tax department will widen tax base by follow-up of non-filers monitoring system (NMS) cases, capturing new information sources such as under reporting of immoveable property transaction amount, buyback of shares through open offers, exchange of information with other countries.
The direct tax collections for the current fiscal has been pegged at Rs 7,36,221 crore.
Central Board of Direct Taxes (CBDT) has said that the I-T department will make utmost efforts to achieve the tax collection targets fixed as it has achieved more than 100 percent targets during the last financial year as well.
The revised targets for 2013-14 was Rs 6,36,318 crore while actual collection was Rs 6,38,495 crore.
The direct tax (including personal income tax and corporate tax) collections in 2003-04 was Rs 10,50,88 crore compared to Rs 6,38,495 crore in 2013-14.