The new ‘faceless’ Taxation system is aimed towards respecting the honest taxpayer and against the tax evader.
Benefits of New ‘Faceless’ Income Tax(I-T) Regime:
-
Anonymity: Faceless and computerized assessment creates a dynamic sphere of control where one won’t have to visit the office nor know the tax-assessing officer.
-
Move towards Transactional Trust: where the data of one’s financial transactions are routinely collected by the tax department from other regulatory bodies.
-
Increased Compliance rate: Taxpayer knows that his/her transactions are leaving behind a footprint which can be tracked by anonymous tax officials who cannot ignore them.
-
Removes the social dilemma: by tilting the balance in favour of payment and against evasion, by respecting the honest taxpayer, not lauding the tax evader.
Conclusion: To succeed in the aimed task of making taxation system effective and efficient, it will need sustained collaborative efforts by all the stakeholders.