The CBDT has directed the Income Tax Department to add at least 1.25 crore fresh tax filers from across the country — the highest to be from Punjab, Haryana, Himachal Pradesh and J&K -- in view of increased economic activities.
The directions have been issued also as a part of the government’s drive to widen the tax base.
The policy-making body of the department said as a result of its past initiatives in this domain, about 1.06 crore new tax filers were added to the income tax net during the 2017-18 financial year.
A new income tax filer is defined as a person who is not included in the tax filing base at the beginning of the year, but who files the return during the year.
A new I-T filer may not be called a fresh taxpayer added to the net as a person may file their income return but may not pay tax as they can claim legitimate exemptions, a senior official explained.
However, once a filer is in the I-T database there is a very bleak chance that such a person’s income remains anonymous.
“The Indian economy is growing at a rapid pace. Considering the increased economic activities both in organised as well as unorganised sectors, there is scope for further widening of the direct tax base of the country.”