Tax Pay New Rule: Tax notices should not incite anxiety in taxpayers but rather use clear, concise language: FM Sitharaman Nirmala

Tax Pay New Rule: Tax inspectors should interact with people in a more “fair and friendly” manner and refrain from using “ham-handed ways,” according to Finance Minister Nirmala Sitharaman.

Tax Pay New Rule

Tax Pay New Rule: On Wednesday, Nirmala Sitharaman, the minister of finance, instructed tax officers to exercise discretion when using their authority and to communicate with taxpayers on income taxes in plain language.

Speaking at the 165th Income Tax Day celebrations in the nation’s capital, Nirmala Sitharaman stated that tax officials now need to strive to be more “fair and friendly” in their interactions with taxpayers following the implementation of the faceless system.

She stated that rather than creating a “sense of fear” in taxpayers, tax warnings have to be clear-cut and easy to understand.

The notification should make it “crystal clear” to the assessee why they are receiving it, according to the Finance Minister.

Nirmala Sitharaman added that there was potential for improvement in terms of how quickly reimbursements were given out. She requested that tax officers deal with taxpayers in a way that is not “ham-handed” and that any action taken be appropriate for the situation at hand.

She further emphasized that the department’s objective should be to promote voluntary compliance and that enforcement actions should only be taken as a last resort.

The finance minister also made it clear that her criticism of the tax department’s lack of friendliness and transparency does not imply that tax officers have been unjust to taxpayers for all these years.

Is it possible for us to consider sending out plain, understandable notices? Sitharaman stated, “Explain the rationale for the action taken and the notification that was being sent.

The minister added that tax officers should continue to carry out their sovereign duties and said that she would support the tax department.
Taxpayers choosing a new tax structure
Nirmala Sitharaman, the minister of finance, added that more Indian taxpayers are choosing to use the new tax system.

According to Sitharaman, “the fact that 72% of users have switched from the old system to the new one indicates that it has been acknowledged as a very well-thought-out system with straightforward rates and no compliance issues, making it very appealing.”

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