Wednesday 22 July 2015
Wednesday 24 June 2015
Various TAXES
Respected Sir/ Madam,
We are proud that you are shouldering
gigantic, sensitive task of managing
funds , economics and social stability for one hundred and fifty Crores
population country and working hard to bring “Good Days – अच्छे दीन” for all citizens.
We are also
aware that lion’s share of revenue comes from “Various TAXES”
collected by Government of India. TDS is one method to proactively
deduct taxes at source. Online filing of tax returns is highly welcomed.
1) Change
Dynamics : From Manual to online Tax filing: But
the process of change from manual to online is difficult phase mixed with
curiosity, agony, ecstasy , phobia of laws, procedures and penalties to the
extent of closing own business. Even governments own Income tax department
faced this stress of transformation when their all India Central processing
unit got hanged, malfunctioned due to heavy data entry and interdependency of
procedures.
2 2) Governments
own Experience for Online procedures: It took four years for well equipped
powerful Income Tax department Central processing Centre (CPC) at Bangaluru to
stream line, adopt and develop harmony and discipline amongst human interface,
technology, hardware’s and complicated interdependent computer programs.
3 3) Problem in online TDS return file: Most of small
income group business owners with Low turnover, honest tax payers
are not acquainted with new online computerized TDS return filing process and
also can’t afford high salaried dedicated professional finance experts on role,
the fear and phobia of government penalty and also the discipline to do online
TDS return is not yet established.
4) Root Cause. Huge Stresses on small businessmen
due to Penalty for Late Filing of TDS Returns :
Section 234E – Levy of
Fees:
Failure to submit e-TDS Statement on time will result in fees on the
deductor. If you delay or forget to file your e-TDS Statement, fees of Rs. 200
per day will be levied on the deductor, as long as TDS Statement is not filed.
The levied amount of fee is not supposed to exceed the TDS deductibles. Prior
to filing of TDS Statement such fee should be paid and it should be reflected
in the TDS Statement.
Section
271H – Penalty: Deductor has to pay a penalty ranging from minimum of Rs. 10,000/- to One Lac rupees, if deductor exceeds one year time limit to File TDS Statement, if deductor furnishes incorrect details like PAN, TDS Amount, and Payment of Challan. It further states that “As per the provisions of the law, if the deductor is charged penalty u/s234E, this penalty cannot be waived off and has to be paid to IT Department”
Section 203 of Income Tax act 1961,
Read with rule 31 of Income tax rules, 1962: Certificate of TDS is to be
furnished within (15) days from the due date for furnishing the statement of
tax deduction at source. Failure to comply with the provision of the act will
attract penalty under the provision of section 272A of the Act, as a sum of Rs
100/- everyday during which failure continues.
1.1
Action
taken by Governments Income Tax Department: In view of above, department has issued
demand notices to lacks of tax payers across the country. Business small and
medium scale has been badly hit by this demand notices from Income Tax for
payment of penalty for late filing of TDS returns.
1.2
The
impact and consequences of Penalty by Government:
Approximately, in India there are three millions people who have their
own tiny business. Beginners or tiny
Business community who is helping government by reducing unemployment by
generating few employments within their limited domain are normally not well
educated and have to get TDS returns filed with the help of Finance
professionals based on their wishes and availability of time, and if these
entrepreneurs are made liable to pay earlier dues like interest and
penalties then their day to day business
operation is severely affected because
most of business owners develop huge psychological stress, health issues and go
into vicious circle of commitments to staff, customers, vendors, family and
society as whole suffers. This is shaking foundation of our country and making
India weaker.
Few commit suicides, some surrender and go
back to job , one business closure means 20 people getting unemployed who
directly-indirectly depend on revenue model of that small business unit,
some continue to work by stretching
their lifestyle and increase mortality rate due to critical illness developed
as a result of cumulative stress,
incomplete bed rest, due to inability to balance between work-life and family many small businessmen take divorce from their spouse, children develop bad habits as parents are unable to fulfill their expectations, increase in hatred between hardworking small businessmen and their family members, friends and relatives distancing themselves from problematic businessmen for not showing results against hard work and being in debts etc.
1.1 VCES:
Previous positive gestures , support , good intentions of Service Tax
Department :
Service Tax Voluntary Compliance
Encouragement Scheme, 2013 provides businessmen with a golden opportunity to
pay all ‘tax dues’ from the period 01.10.2007 to 31.12.2012 without interest,
penalty and other legal proceedings including prosecution. Apply on or before
31.12.2013.
“This positive gesture by Income Tax Department hence government of
India was highly welcomed by all honest tax payers, businessmen, professionals,
tax consultants, chartered accountants “
1.2 Previous amnesty scheme for
declaring black money and filing income tax returns.
You are very well aware that, in past
Income tax department had executed its powers and declared amnesty scheme for
declaring black money and file income tax returns by paying tax on cash
declared without any proof of source of income. ( This amnesty scheme was
criticized by honest tax payers as it intentions were to patronage those who do
not declare source of income. In sharp contrast our TDS amnesty request is in
favor of honest tax payers to government of India, and we are only requesting
patronage to wave the penalty on delay in TDS return filing )
1.1
Our organizations Solution
recommendations to be included in 2015-15 budget
We, on behalf of all India’s nation builders
through business and through representation under “Maharashtra Self Employment
and Business Organization” are writing this letter to request you
1. To
please grant TDS amnesty to the businessmen for the earlier year
outstanding interest and penalties and collect only the outstanding principal
amount under same method like it was done with VCES scheme under service tax.
Interests and penalties of current year dues or for future years may be
collected as per the provisions of the act.
2. As proactive preventive policy action , review
our skill building module which we have
conceptualized of mandatory
Training to all small businessmen on their prime duties ,
roles and responsibilities towards Government
of India, Towards Income Tax and finally
towards nation building as true patriot.
Its main objective is to sensitize small businessmen the importance of
giving more to nation in return to their expectations from government.
3. We are emphasizing early action because
intention of this letter is to act as raw input for your financial planners and
his highness minister of finance to include appropriate provisions in countries
annual budget for the financial year 2015-16.
4. Our
noble vision is to strengthen government polices and not to attack and
criticize government policies after the financial budget is declared in
Parliament. “Stitch in time saves nine”. Hence we are giving ground reality,
first hand input to financial planners two months in advance, long before the
2015-16 financial year budgets is declared.
5) Since, for
social cause and nation building; we work in close association with various
social groups and small businessmen through our chartered accountancy profession
and “Maharashtra Self Employment and Business Organization”, our organization
is highly networked and can execute any
assignments given by government of India. May we request you to provide us
relevant opportunity to assist in executing any government’s plans, ideas,
schemes etc?
Thanking you in anticipation towards
joint nation building as fellow Indian.
Yours sincerely
Yogesh
Sharma
State
President.
Maharashtra
Self Employment and Business Organization
Contact email : k.yogesh.sharma@gmail.com
phone : 09821547913
/ 022-25375855
1 1) President
of Maharashtra Swayam Rojgar Aani Vyapari Sangh (MSVS).MSVS is working
for the unity, development & fight against related. Towards solutions on
Problems of Businessman and for the generation of self employment in the
Maharashtra state.
1 2) Coaching, generating employment for more than 2000 women from
underprivileged society through self help groups and making them self reliant.
3 3) Actively
associated with Rural Self Employment Training Institute and Financial Literacy
Credit Counseling centre of Bank of Maharashtra, Thane District. Mumbai
Maharashtra.
Copy to Hon’ble
Misters of Government of India and their respective Secretaries.
N.B. For any
clarification , details and any sort of information required with reference to
this letter please communicate with ,Yogesh
Sharma, State President. Maharashtra
Self Employment and Business Organization
(Nationalist Congress Party : NCP).
Contact email : k.yogesh.sharma@gmail.com
phone : 09821547913
/ 022-25375855
Amnesty Scheme for the Default in TDS Return filed
Letter no 1: Amnesty Scheme for the Default in TDS Return filed
The Hon’ble Minister,
Ministry of Finance,
Date:
27.01.2015
To,
The Hon’ble Minister,
Ministry of Finance,
Government
of India. New Delhi.
Subject:
1. For “अच्छे दिन”
:Good Days” Amnesty
scheme for TDS return file defaulters with reference to VCES
for service tax defaulters, reason being
low income tax payers are not acquainted with new online computerized TDS
return filing process and also can’t afford salaried dedicated professional
finance experts.
2. as
preventive long-term policy, Design policy for knowledge transfer skill
building training programs to ensure that businessmen develop habit to do
timely online Tax Return filing & save productive time.
3.
Help Reduce unemployment by giving royal patronage to small businessmen
4. In the interest of
Nation Building, Consider above suggestions and make necessary provisions in
2015-16 budget
To,
Hon’ble Minister,
Ministry of Finance,
Government of India.
New Delhi.
Copy To :
1.
His Highness President Of India.
|
2.
The Chief Secretary. Office of The President of India.
|
3.
Hon. Prime Minister of India
|
4.
PMO office. Prime Minister
|
5.
Hon. Chairman. NITI Ayog.( National
Institution for Transforming India Aayog ). Government of India.
|
6.
The Principal Secretary. NITI Ayog.( National Institution for
Transforming India Aayog ). Government of India.
|
7.
Home affairs Minister. Govt of India
|
8.
The Secretary. Home affairs Minister.
Govt of India
|
9.
The Secretary. Ministry of Finance. Govt Of
India.
|
10. Hon. Speaker. Loksabha. Parliament of India.
|
11. Hon. Chief Minister. Government of Maharashtra
|
12. .The Principal Secretary. Government of Maharashtra
|
13. Hon. Sharad Pawar. President Nationalist
Congress party. NCP
|
14. The Governor. Reserve Bank of India.
|
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