Karnataka stands third in tax collections and a large amount of unaccounted money has been unearthed in the State, said BR Balakrishnan, Principal Chief Commissioner of Income Tax.
Addressing a seminar on International Tax and Transfer Pricing organised by the Bangalore Chamber or Industry and Commerce (BCIC) in Bengaluru, Balakrishnan urged corporate India for better tax compliance and better approach to tax disputes resolutions.
“Regulators often face the challenge of tax disputes, which always results in tension between the enforcer and the taxpayer,” he said.
Balakrishnan called upon the industry to look at ways where litigations are kept at the bare minimum and taxes are paid within the framework of the law.
He said the department was able to collect several crores without any litigation last year. “We should work together to see that on one side we get a fair amount of taxes collected and on the other the department should not pose too much problems for the industry on reporting,” he said.
KR Sekar, Chairman of Direct Taxes, Expert Committee, BCIC, delivering the welcome address assured the Income Tax department that Bangalore Chamber has a mandate not to violate the spirit of law.
Sekar requested the department to work out a better approach to ensure that the dispute resolution panel achieves the purpose for which it was set up.
Over 100 tax professional drawn from various industry verticals participated in the day-long seminar.