Inaccurate I-T return filings by salaried employees under government scanner
What's the story
Indian government is cracking down on salaried employees who use illegal means such as under-reporting of income or inflating deductions while filing income tax returns (ITRs) to avail maximum tax benefits. The income tax department warned salaried taxpayers on Wednesday, threatening violators with prosecution and a strict action by their employers, reported PTI. Read on for more details.
Warning
A cautionary advisory
The Central Processing Centre of the I-T department, located in Bengaluru, is responsible for receiving/processing ITRs. It has issued a one-page cautionary advisory to all professional taxpayers stating they shouldn't "fall prey" to the advices of unscrupulous tax advisors or planners and refrain from preparing wrong claims. "Such offenses are punishable under various penal and prosecution provisions of the Income Tax Act," it said.
Details
All fraudulent claims in ITRs will be penalized
With the beginning of the tax-filing season for salaried workers, the Central Board of Direct Taxes (CBDT) - which formulates the policy for the I-T department - has recently notified the new ITRs. According to the one-page advisory, all fraudulent claims in ITRs, if found out, "may be punishable under provisions of the I-T Act and this may also delay issuance of refunds."
Filing tax returns
ITR-1 form for 2018-19 now available for e-filing
Meanwhile, the latest ITR-1 form, used by taxpayers for incomes upto Rs. 50 lakh, has been uploaded on the I-T department's official e-filing portal. The ITR form, notified by the CBDT on April 5, is now available on its website. The new ITR assessment forms require salaried employees to provide a detailed break-up of their salary, and businessmen information about their GST number, annual turnover.