Govt sets target to add one crore more tax payers this year

Government targets adding one crore new tax payers in the current financial year, Minister of State for Finance Jayant Sinha said today.
"The government has set a target of adding one crore new tax payers during the financial year 2015-16. The said target has been further distributed among various field units of the Income Tax Department," Sinha said in a written reply in the Lok Sabha.
Sinha said in this financial year over 2.4 crore income tax returns have been filed till October 31, 2015.
The respective figures for 2014-15 were 3.67 crore; 3.74 crore in 2013-14 and 3.27 crore in 2012-13.

The number of income tax payers in the income bracket of Rs 1 crore and below was 2.39 crore as of October 31, 2015. For 2014-15 it was 3.66 crore; 3.73 crore in 2013-14 and 3.26 crore in 2012-13, said the minister.
"The total net direct collection in the current financial year (up to October 2015) is Rs 3.44 lakh crore showing growth of 13.20 per cent as compared to the collection made during the corresponding period of the previous financial year," he said.

Sinha said government has taken a number of steps to expand the tax base.
Tax revenue through direct and indirect taxes stood at Rs

7.27 lakh crore during April-October period of 2015-16.
In reply to a separate question in Lok Sabha, Sinha said 489 applications of foreign companies are pending before the Authority for Advance Ruling on Minimum Alternative Tax issue.
"Currently, there are 489 applications pending before the Authority for Advance Ruling for more than six months. Some of them may involve MAT issue besides other issues," Sinha said.
The Justice AP Shah Committee has recommended to amend the Income Tax Act to clarify the inapplicability of MAT provisions to foreign institutions investors/foreign portfolio investors.
"Alternatively, a circular may be issued clarifying the inapplicability of MAT provisions to FIIs/FPIs," he said.

Sinha said the government has accepted the recommendation of the Committee and decided to carry out appropriate amendment so as to provide that the MAT provisions will not be applicable to FIIs/FPIs not having a place of business or permanent establishment in India for a period prior to April 1, 2015.
An appropriate legislative amendment to the I-T Act is proposed to be carried out, he added.
In another separate reply, Sinha said as many a 65,941 cases are pending with Debts Recovery Tribunals (DRTs) involving assets worth Rs 4.20 lakh crore as of September 30, 2015.