Era of tax evasion is over: Anita Kapur
Updated: Oct 08, 2015 04:25:17pm
New Delhi, Oct 8 (KNN) The era of tax evasion is over, said CBDT chairperson Anita Kapur adding that the people who are still bent upon organising their businesses in a manner that use all kinds of tools to avoid taxes, are going to be outliers in the system.
While addressing CII's global tax summit, Kapur said that for companies with low profits, average tax rate is higher under the current regime of exemptions. Whereas bigger companies get the advantage of exemptions.
"The era of tax avoidance, am not talking about evasion, in the garb of minimising taxes, is over. And I am very sure that people who are still bent upon organising their businesses in a manner that use all kinds of tools to avoid taxes, are going to be outliers in the system," she said.
Kapur said companies have to pay the government where actually a business has taken place.
"Tax is in the board rooms. Tax is no longer in the offices of the CFOs, because your brand will suffer if you get a stigma of being a tax avoider," Kapur said.
Kapur also ensured that the department will also need to gear up to take stern action against tax avoidance and evasion as they spoil the compliance regime.
She said tax laws need to be simplified because studies show that people do not want to pay taxes for two reasons -- complex laws and tax administration not facilitating compliance. (KNN Bureau)
While addressing CII's global tax summit, Kapur said that for companies with low profits, average tax rate is higher under the current regime of exemptions. Whereas bigger companies get the advantage of exemptions.
"The era of tax avoidance, am not talking about evasion, in the garb of minimising taxes, is over. And I am very sure that people who are still bent upon organising their businesses in a manner that use all kinds of tools to avoid taxes, are going to be outliers in the system," she said.
Kapur said companies have to pay the government where actually a business has taken place.
"Tax is in the board rooms. Tax is no longer in the offices of the CFOs, because your brand will suffer if you get a stigma of being a tax avoider," Kapur said.
Kapur also ensured that the department will also need to gear up to take stern action against tax avoidance and evasion as they spoil the compliance regime.
She said tax laws need to be simplified because studies show that people do not want to pay taxes for two reasons -- complex laws and tax administration not facilitating compliance. (KNN Bureau)
Loading...
