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New Income Tax Rules – Submission of false Aadhaar number may be fined Rs. 10,000

As it is well known that the income tax department has allowed Aadhaar card holders to use the biometric id number in lieu of the Permanent Account Number (PAN). But as per new provision of Income Tax, fine of Rs. 10,000 may be levied in case of wrong Aadhar Number. As per the latest amendments in the Finance Bill 2019, not only allowed people to use Aadhaar in lieu of PAN but also introduced a penalty for giving a false Aadhaar number. However, the new penalty rules are applicable only in cases where you are using Aadhaar in lieu of PAN and where quoting PAN is mandatory according to the income tax department rules. It is well known that although Aadhaar is issued by the Unique Identity Authority of India, yet the fine is not imposed by UIDAI but by the income tax department. Under Section 272B of the Income Tax Act, 1961, the department can impose a penalty in case of default in complying with provisions relating to PAN, i.e., failure to obtain, quote, or authenticate PAN.

News Item of Financial Chronicle: 536 top posts vacant in income-tax department


AS OF today, there are 536 additional commissioner posts lie vacant in the income-tax department. At present, these are being manned on an ad-hoc basis. The future looks even bleaker, IT department top officials told Financial Chronicle.

A detailed calculation made by income-tax Gazetted Officers’ Association shows that the networking strength of assistant commissioner of income-tax (ACIT) will go down from ,542 at present to only 960 after the new cadre restructuring proposals take effect.


The total vacancies in the grade of ACIT will rise from 550 at present to 1,954. The majority of these vacancies will remain unfilled for the next three to five years. Even after five years, at least 600 posts of ACIT will remain vacant, Mrinal Kanti Chanda, president, incometax Gazetted Officers’ Association, told FC. A cadre review had been conducted by the CBDT in 2009 to address the lacuna in services and tax enforcement, and made several recommendations. After four years, the Union cabinet approved a cadre restructuring. 

On May 31 this year, the central board of direct taxes (CBDT) notified that the Union cabinet had approved additional manpower for the income-tax department with an expenditure of Rs 450 crore. It was also claimed that the services of the additional manpower would yield additional collection of revenue of Rs 25,000 crore per annum (over and above the present tax collections). Besides, high net-worth individuals will be brought under closer scrutiny. Above all, it has been claimed that it will lead to better services to individual and corporate taxpayers. “However, the proposed restructuring has been limited to mere addition of manpower, mostly in the highest levels only. The existing structure carries unfilled vacancies year after year. The problem cannot be solved by creating additional posts, which will only add to that shortfall, but by devising methods of filling these unfilled vacancies by direct recruitment or by promotions from lower grades. The department do not need new posts as much as it needs strategies to fill up these posts,” said Bhaskar Bhattacharya, general secretary of the association.

ritwikmukherjee
@mydigitalfc

Source: http://www.itgoa.org/files/News%20Item%20in%20Financial%20Chronicle.pdf

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New Income Tax Rules – Submission of false Aadhaar number may be fined Rs. 10,000

As it is well known that the income tax department has allowed Aadhaar card holders to use the biometric id number in lieu of the Permanent Account Number (PAN). But as per new provision of Income Tax, fine of Rs. 10,000 may be levied in case of wrong Aadhar Number. As per the latest amendments in the Finance Bill 2019, not only allowed people to use Aadhaar in lieu of PAN but also introduced a penalty for giving a false Aadhaar number. However, the new penalty rules are applicable only in cases where you are using Aadhaar in lieu of PAN and where quoting PAN is mandatory according to the income tax department rules. It is well known that although Aadhaar is issued by the Unique Identity Authority of India, yet the fine is not imposed by UIDAI but by the income tax department. Under Section 272B of the Income Tax Act, 1961, the department can impose a penalty in case of default in complying with provisions relating to PAN, i.e., failure to obtain, quote, or authenticate PAN.

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