You pay again: CAs set to hike I-T returns charges
THE SALARIED class may be compelled to cough up a hefty fee to the chartered accountants (CAs) if they miss out on the July 31 deadline to file their income tax returns in the Lucknow Circle. The conventional ?Saral? form to file returns may not be valid for filing returns as soon as a response from the union finance ministry to review the new four-page ?Form 2F? to file returns arrives after July 31, 2006.india Updated: Jun 08, 2006 01:30 IST
THE SALARIED class may be compelled to cough up a hefty fee to the chartered accountants (CAs) if they miss out on the July 31 deadline to file their income tax returns in the Lucknow Circle.
The conventional “Saral” form to file returns may not be valid for filing returns as soon as a response from the union finance ministry to review the new four-page “Form 2F” to file returns arrives after July 31, 2006.
The fact remains that a third of the city’s salaried class may not be able to pay a hefty fee to a CA to file his returns that include financial details never even written down by average family members in his expense account round the year.
“Why does the finance ministry always get the idea of taxing the salaried class in some way or the other when they are the most honest tax payers in the country,” Jagdish Prasad, a retired government servant, told Hindustan Times.
“It’s ridiculous to keep thinking of tedious ways to somehow keep taxing the salaried class as if they are the biggest culprits in this country. How many of the rich would provide an honest statement of their expenditure in the highly impractical income tax return form the finance ministry is proposing to bring into circulation,” he said. “We would be compelled to charge a higher fee from the clients if the new income tax return form is brought into circulation as the workload on the CAs would increase manifold to enter those financial details of annual expenditure in the form,” said Raj Kapoor, chairman of the Lucknow branch of the Institute of Chartered Accountants of India (ICAI).
He said the salaried class was already the most anguished lot in the city and such a system of filing returns would leave a large scope for confusion. “It’s not possible for an average salaried class person to file income tax returns in a form which asks for expense statements to be written down without seeking help from Cas,” Kapoor said.
Quite a few clients had approached the CAs in the city asking questions like how to account for cheque payment, cash transactions and provide details on a host of minor expenses in the form, Kapoor said. “Currently there is no certainty that such a form would be made mandatory for filing income tax returns but CAs are prepared to handle the workload if it happens,” he said. Till July 31 this year the assessees can anyway use the conventional form to file income tax returns. After the July 31 deadline for filing returns, the new form would become mandatory for filing returns, Kapoor said.