FICCI wants non-adversarial tax regime
FICCI has urged the Finance Minister to make earnest efforts to move away from the aggressive revenue approach and provide a genuine non-adversarial and conducive tax environment for industry and the economy to flourish.
For creation of such an environment, they suggested:
++ Revenue estimates and targets should be arrived at realistically in accordance with the state of the economy;
++ Parameters for evaluating and reporting the performance of tax officers annually need to be revised. Revenue realized should not be a factor for appraising the performance of an assessing officer. Performance of the tax officers should be judged on the basis of the quantum and quality of different items of work rendered in all areas including assessment of traits like judiciousness and facilitation.
FICCI told the FM, "The overwhelming focus of the Government machinery on revenue ‘Targets' puts too much pressure on the tax officers to maximise revenue collections leading to arbitrary assessments, denial / delay in sanction of refunds, disputes and unwarranted litigation. Revenue generation is primarily dependent on the economic activity in the country; revenues cannot be enhanced by prescribing artificially high targets for the tax officers.”
In the next two months we will see all the hyper action to meet the revenue targets.