Income Tax from Services Surge but not Service Tax!
THE Finance Minister started the New Year with a meeting with senior Revenue officers of Eastern Zone at Kolkata. The meeting was attended by Revenue Secretary Sunil Mitra, CBEC Chairman, SD Mazumder, CBDT Member MukeshDoshi and Commissioners and Chief Commissioners of Income Tax, Customs, Central Excise and Service Tax.
One of the issues noted was the income tax department reporting that there was a spurt in income tax collections from the services sector, but strangely the CBEC counterparts did not notice any commensurate growth in Service Tax. The Central Excise Department is likely to transfer many of its officers to the Service Tax wing to accelerate the Service Tax revenue.
The Finance Minister explained to his senior officers the state of Indian Economy and his road-map and he requested the co-operation of his officers in generating enough money for all the plans he has.