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  • Category: Miscellaneous

    Access or invasion? Banks now have access to know your IT return filing status.

    Banks and post offices have been granted access to now check IT return filing status through a designated portal ''. Central Board of Direct Taxes (CBDT) has though notification granted this access to banks and post offices to check status of IT return of a person using his PAN.

    This has been done to check large cash withdrawals by persons not filing Income Tax returns. Banks will deduct tax @2% if the cash withdrawal exceeds Rs. 20 lakh in a year and @5% if the withdrawal is over Rs. 1 crore.

    Although such large amount of cash is hardly owned by a middle class person but yet such moves seems a little scary.

    Isn't it a bit invasive rather than calling it a simple access. Once a law is framed, so comes the means to break the same. People dealing or possessing such large amount of cash and not filing ITR are in fact doing this on purpose and now they would device new means to evade the same.
  • #709574
    Slowly the government is trying to see that people will pay tax without fail. In our country, IT payers are very less . As per Income tax department only 1.46 crore people pay tax on their income in the country. The total population is about 135 crores. You can see the percentage. The percentage is a little above 1%. Among this 1.46 crore, about 1 crore people are showing an income of 5 to 10 Lakhs per annum and the remaining 46 lakhs are showing above 46 lakhs. This is an indication that many people are falling in the tax bracket are avoiding tax payment. For this only all these actions are being taken I think. If all the people genuinely pay the tax there is no necessity for all these actions.
    Only salaried people will be paying the tax and not all. This system has to go and people should come forward to pay the tax. Once all start paying IT, the government may reduce the tax levels and see that the salaried class is also comfortable.

    always confident

  • #709581
    I think the salaried class suffers the most. There is limited scope for saving tax as the limit of exemptions are also very low. Expenses are high and ever-increasing and without voluntary participation from all, only coercive action will be taken.
    Live before you leave.

  • #709582
    There is nothing wrong when banks want to have access to your income tax returns. When the CA is asking for bank statement to file IT returns, there are every reason for banks to seek your financial soundness through IT returns. The banks have now been advised by the RBI to go slow on sanctioning loan at the face of sureties and the guarantors and in fact want to ensure safe return of their loan money at the due date. The IT returns thus filed would give broader scope for the banks to understand how do you fare financially. The salaried class is being the sincere tax payer and also the loan payer are now being doubted by the banks and that should be avoided. Even PM Modi has thanked the sincere middle class income tax payer and we are the strong payers to the nation whereas others have the tendency to delay and deny.
    K Mohan @ Moga
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #709590
    I think the middle class is the only segment that is carrying the most burden and doing its duty diligently. I already discussed about middle class being a sandwich is very apt.

    Although here the main target is not middle class but the rich, wealthy and absconders who have been cheating the Government for long.

    Live before you leave.

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