WTF - No PAN? Be prepared to pay 20% tax from tomorrow

Source : http://timesofindia.indiatimes.com/...-20-tax-from-tomorrow/articleshow/5746226.cms

Looks like govt of india has put the last nail in the coffin for tax payers , every income (post office, sale,freelance , net transfer ) will be taxed 20% if you do not quote pan , you may get it refunded by claiming income tax refund , the idiots are unable to process few lakhs income tax refund per year , now there will be billions of tax refund claim , which will ensure you will never get income tax refund in your life

On top of that the idiots wants you to pay heavy fine,interest, penalty if you are defualting tax payments

Why the hell there is no penalty of income tax departnment for unable to provide income tax refund in timely manner ? Even we should get 2% interest per month on pending income tax refund .

 

This step seems to have been devised with a sole purpose to put more pressure on people to get PAN number... immediately!
Government is hell bend on allotting PAN number to each and every individual and thereby establish an audit trail for every transaction!

Regards,

RightMan

 

Yes I agree with you "it career". Things are becoming worst day by day... Atleast for such huge tax rate as compaired to other countrier like germany, UK, we are not ever getting 20% of facilities ppl are using in germany and UK...

 

The percentage of income tax payers in India is very low compared to many developed countries. In India it is less than 10% of the population.... In some countries it is as high as 75%...and they enjoy better facilities provided by the state. However it is very unlikely the common man in India will soon get to enjoy the benefits from the increased tax collection...that's why nobody wants to pay tax

 

Well India's population is also more than those countries. If Govt. reduces the tax rate then i bet there will be more tax payers.

 

yes i m fully agree with u, the fucking india tax depatment dont let us to sleep calmly, they just want to recover tax to give bloody hell politician and lazy govt employment.

 

yeah , but this refers only to TDS and not savings accounts/current accounts deposits

 

So, If I have a Savings Accnt without PAN number on it, Bank will deduct 20% and give it to the Tax department ??

 

I am not aware of how the process will take place but I guess looking at the article, it will look to deduct 20% on all credits coming into the account!

Though seriously... I feel the implementation will be delayed as it is lot more cumbersome to actually bring it into effect. The announcement appears to be more of an effort to force people to get PAN number asap!

Regards,

RightMan

 

I think they have got a licence to do that as we have given them complete majority. Now we are paying for it. Now I am having pan card so its good

 

http://law.incometaxindia.gov.in/DitTaxmann/FinanceAct/FinAct20092/Finact69.htm

Insertion of new section 206AA.

69. After section 206A of the Income-tax Act, the following sec tion shall be inserted with effect from the 1st day of April, 2010, namely:—

“206AA. Requirement to furnish Permanent Account Number.—

(1) Notwithstanding anything contained in any other provisions of this Act, any person entitled to receive any sum or income or amount, on which tax is deductible under Chapter XVIIB (hereafter referred to as deductee) shall furnish his Permanent Account Number to the person responsible for deducting such tax (hereaf ter referred to as deductor), failing which tax shall be deducted at the higher of the following rates, namely:—

(i) at the rate specified in the relevant provision of this Act; or
(ii) at the rate or rates in force; or
(iii) at the rate of twenty per cent.

(2) No declaration under sub-section (1) or sub-section (1A) or sub-section (1C) of section 197A shall be valid unless the person furnishes his Permanent Account Number in such declaration.

(3) In case any declaration becomes invalid under sub-section (2), the deductor shall deduct the tax at source in accordance with the provisions of sub-section (1).

(4) No certificate under section 197 shall be granted unless the application made under that section contains the Permanent Ac count Number of the applicant.

(5) The deductee shall furnish his Permanent Account Number to the deductor and both shall indicate the same in all the corre spondence, bills, vouchers and other documents which are sent to each other.

(6) Where the Permanent Account Number provided to the deductor is invalid or does not belong to the deductee, it shall be deemed that the deductee has not furnished his Permanent Account Number to the deductor and the provisions of sub-section (1) shall apply accordingly.”.​

 

I have added pan card in the paypal still they will deduct tds?

 

Its good that I got my PAN card last year only.
So, no problem and its better to make a PAN for yourself as it helps in many ways.

 

Govt is trying to convert non tax payers into tax payers and improve financial standings of india in global market

 

Hey thats applicable for interest earned thru Fixed Deposit (Term Deposit).
I saw that notification in my Bank last week.
BTW good comments by readers on that article published in Times of India.
Tax waiver for money minting business like "IPL" and the multi lakh garland issue!

 

Earlier one needs to quote for any transaction above 50000/- now do the income tax want you to quote pan for every hundred you earn ?

 

Indian Govt. just knows how to kill a common man, Nothing else they can do, or even able.
If they are so worried about non tax paying people, then why the hell they evade IPL from TAX?? That is where the real money is on the making!

 

Why are you all so scared from paying Taxes?? There is nothing wrong.....If you are earning an income which is subjected for Taxes then you must proudly submit that.

Get a PAN card and free yourself from every trouble. Getting a PAN card is not at all difficult!! Please guys relax and just apply for a PAN card if you are not having it.

Government will surely use our Taxes in the right direction (At least we can wish for it) We all complain when roads near our places are not in a good condition then now do not be scared to pay taxes. At least you do your job.

Don't make things complicated for yourself and others!!

I have a PAN card and i don't mind paying TAX if i am liable for paying it.

 

No body mind paying tax (at least im paying from 3-4 years) But at least govt. should treat every segment of economy and market equally (Include and Force IPL types of business to pay taxes as well) and that is where common people start developing the thoughts of "Rage against the Machine" Got the catch? Cheers!