HomeWhat's TrendingTax Department Reveals ITR 2024-25 Updates: Boost for Taxpayers

Tax Department Reveals ITR 2024-25 Updates: Boost for Taxpayers

The Income Tax Department has laid out its roadmap for the fiscal year 2024-25, focusing on simplifying tax procedures and fast-tracking refunds and appeals.

Under the guidance of the Central Board of Direct Taxes (CBDT), the plan zeroes in on key areas such as identifying instances of TDS underpayments and expediting the resolution of appeals.

A crucial component of the plan is the establishment of deadlines for refund approvals, asset releases, and compounding proposals. It also emphasises the prompt identification and release of seized assets, with a deadline set for June 30, 2024.

Prioritising appeals filed pre and post-April 1, 2020, the plan aims to resolve a minimum of 150 appeals by June 30, alongside finalising pending compounding proposals from March 31, 2024.

Sandeep Sehgal, Tax Partner at AKM Global, lauded the proactive stance taken by the CBDT to enhance tax administration efficiency. He highlighted measures such as addressing grievances through digital platforms like e-Nivaran and CPGRAM.

‘Taxpayers are now required to file applications before the assessing officer for pending refunds pertaining to their respective assessments. This proactive approach aims to expedite the refund process, offering considerable relief to taxpayers and fostering a structured framework to bolster tax administration efficiency,’ Sehgal explained.

Furthermore, the plan targets the swift resolution of Nil/Lower TDS or TCS Certificates applications within a month from April 1, 2024, benefiting taxpayers’ cash flows. It also prioritises the resolution of audit objections, aiming to settle major and minor objections by June 30, 2024.

Sehgal hailed these proactive measures for their potential in revenue generation and fostering a culture of compliance, aligning with the government’s goal of boosting taxpayer confidence.

Aravind Srivatsan, Tax Leader at Nangia Andersen, underscored the plan’s comprehensive approach to tax collection, dispute resolution, and data management for better fiscal management.

‘The detailed nature of the guidelines reflects meticulous planning undertaken by the government. Ultimately, these directives aim to ensure business continuity, adherence to tax collection targets, and prudent fiscal management,’ Srivatsan remarked. In essence, the objective is to safeguard tax collection and minimise the need for additional borrowing.

The Income Tax Department’s action plan for 2024-25 signals a proactive approach towards enhancing administrative efficiency and providing relief to taxpayers amidst evolving economic landscapes.

Monika Shanmugam