Bengaluru Audit Session Stresses Transparency and Fairness in Tax Compliance

Bengaluru Audit Session Stresses Transparency and Fairness in Tax Compliance

The article reports on an audit session held in Bengaluru that focused on stressing the importance of transparency and fairness in tax compliance procedures for both taxpayers and tax officials.

Key Themes of the Session

• Transparency as a Cornerstone: The session emphasized that a transparent system is fundamental to building trust between the taxpayer and the tax department. This includes clearly communicating reasons for scrutiny and providing adequate opportunities for taxpayers to respond.
• Fairness in Assessment: Officials were urged to ensure fairness and objectivity in their assessments, particularly when dealing with complex corporate tax and GST matters. The goal is to move away from arbitrary demands and rely strictly on evidence and legal merit.
• Voluntary Compliance: The sessions promoted initiatives aimed at encouraging voluntary compliance. The underlying belief is that when taxpayers perceive the system as fair and transparent, they are more likely to comply willingly, reducing the reliance on coercive enforcement measures.
• Capacity Building: The program served as a training forum to enhance the understanding and skills of tax officials in conducting audits and assessments, especially in the evolving context of faceless assessment and complex Goods and Services Tax (GST) provisions.