Chartered Accountants and Revenue Authorities work hand in hand to ensure compliance of policies framed by the authorities. `Non Adversial & Non Intrusive Tax Administration’ attitude of the tax authorities helped Assesses to comply with reporting easily, remarked Sandeep Bandhu, Hon. Director of Income Tax, Intelligence & Criminal Investigation, Nagpur.
Sandeep Bandhu, while speaking as Chief Guest at seminar on Critical Issues in Statement of Financial Transactions (SFT), organized by the Nagpur Branch of WIRC of ICAI, applauded the contribution of Chartered Accountants who are the key support agencies to revenue authorities.
Bandhu, a proactive officer of 1995 batch of IRS, B.Tech. from IIT Delhi, guided the members present about the ‘Statutory Framework of SFT’. In his key note address on the occasion, he shared the basic intent of legislature with respect to the concerned provisions governing the reporting of statement of financial transactions. While there is a paradigm shift to bring our tax administration in tune with Global trends; the Department has moved from an enforcement agency to a facilitator (Tax Serving Agency). Bandhu stressed that with Change in Organizational structure, set administration procedure and mindset needs to be changed. With aim of Department directed towards Business process re-engineering like E-assessment and expected achievements, he pointed that High Quality Citizen Service leads to Improved Revenue Collection.
Bandhu has been actively involved in development of technology-driven quality tax payer service modules of the Income Tax Department through CPC (TDS) and has represented the Department at several Information Technology forums. In the current scenario, assessee’s data is getting compiled from many sources like Office of Registrar of Immovable Properties, TDS Returns of Deductors, concerned Banks and Financial Institutions, GST Returns of the assesses, he remarked. This Third Party Mechanism is used to cross check transactions between different Tax Payers.
Department is working towards principal of “Once Only” information extraction to reduce burden on tax savvy citizens and reduce risk of errors due to multiple information systems. His strong belief in the vision and mission statement of Government of India wherein due attention is given to the adoption of technology as an enabler, was found evident. He explained the importance of PAN in management of High Value Transactions. Even the persons not having Income Tax PAN, are planned to be effectively traced by resorting to acknowledgement of Form 61, he shared.
He also explained in detail the provisions concerning filing of Statement of Financial Transactions. He appealed the Chartered Accountant members present to help create awareness among assessees to comply with the provisions and the dead line to file the SFT return being 31st of May for reporting transactions of financial year 2018-19.
Dr. Kaumudi Patil, Jt. Director of Income Tax in Settlement Commission, Mumbai, being the second speaker on the occasion guided the members present with the Technical and Practical Aspects, concerning the provisions of SFT. She started her deliberation with the quote of none other than N. R. Narayanmurthy. She went on to share the quote – “Engineering or technology is all about using the power of science to make life better for people, to reduce cost, to improve comfort, to improve productivity, etc.” Similarly, the CA Professionals are effectively educating the tax payers on one hand and ensuring due compliance and transparency in the matter of financial transactions, on the other hand, she remarked.
Dr. Kaumudi Patil, previously posted at National Academy of Direct Taxes and as Jt. Director [I&CI], Nagpur, very effectively deliberated with respect to the provisions of registration for SFT. She also shared her rich knowledge in the subject by duly discussing the requirements to report under various clauses about SFT. She appealed the members present to help assesses to identify the transactions to be reported in SFT i.e Cash receipt exceeding INR 2 lakhs by a person for sale of goods or rendering of services to be compulsorily reported by Persons liable for Audit u/s 44AB of the Income Tax Act, by 31st May, she remarked.
CA Suren Duragkar, Chairman of the Nagpur Branch of ICAI, lauded the lucid and cordial approach of Director of Income Tax (I & CI) Sandeep Bandhu, who had come along with all Departmental Officers to address issues of Chartered Accountants. He assured the revenue authorities, that Chartered Accountants are working shoulder to shoulder with department to ensure effective compliance of the SFT Provisions and Nagpur Branch is always ready to extend support wherever required. CA Suren Duragkar shared the future plans of Nagpur Branch. He appreciated the revenue authorities for bringing “One Only” Principle which means all the information will be available at one click. CA Suren is also hopeful that pre-populated customized return forms are going to be a reality soon.
CA Kirit Kalyani, Vice Chairman of the Branch, coordinated the event. He informed the members to forward their queries if any, to Nagpur Branch, which will be compiled and forwarded to Income Tax Department at Nagpur. Sandeep Bandhu has assured to get the same resolved, he remarked.
The Vote of thanks was presented by CA. Saket Bagdia, Secretary of the branch.
Prominently present on the occasion were CA Akshay V Gulhane, CA. Harish Rangwani, Executive Committee Member, CA Julfesh Shah, Former Vice Chairman of WIRC of ICAI, CA Sandeep Jotwani, Ex Chairman Nagpur Branch and around 125 CA Members.