Trusting taxpayers

The charter and faceless scrutiny should not remain just on paper

Prime Minister Narendra Modi’s announcement of the adoption of the taxpayer charter by the Income-Tax Department is a big step forward and should help build trust in the tax administration. With the adoption of the charter, India joined a select group of countries such as the US and Canada that have such provisions in the law. Through the charter, the department is now committed to treating taxpayers as honest; providing complete and accurate information; giving a fair and just system; and, among other things, reducing compliance cost. It would, however, be important for the department to ensure that these commitments