Page 11 - Banking Finance April 2019

ROUNDUP

INDUSTRY

NEWS
NEWS
NEWS
NEWS
NEWS

I-T assessments to be completely online 50% chance of 'normal'
Income tax assessments will be "completely faceless", without the taxpayer monsoon
having to face the taxman, in about two years
and assessees will be provided pre-filled return There is more than 50% chance of
forms as part of the government's initiative to normal mon-
simplify procedures, a senior government official soon rains in
India in 2019,
said.
private fore-
Central Board of Direct Taxes Chairman Sushil caster Skymet
Chandra said that about 2.06 lakh income tax Weather said. "Going by early indi-
assessment cases were handled online by the cations, this is going to be a devolv-
department last year, as part of the 'nameless and faceless' delivery of service ing El Nino year. This trend would
to taxpayers.
surely not lead to a drought but...as
He added that the recent government sanction to create the advanced said excess rains are also ruled out,"
Centralised Processing Centre 2.0 in the I-T Department is a precursor to these Skymet said. "The El Nino conditions
futuristic proposals."CPC 2.0 has got a lot of new advantages. A pre-filled re- were on the rise in the Pacific Ocean
turn form will be given to the taxpayer on the basis of information we get about till December. The temperatures are
them from the tax deducted at source (TDS) procedure. now declining and the probability of
"That will also facilitate processing of returns in 24 hours and we have got an El Nino is also falling. This will reduce
to 50% by the time the monsoon
agreement (with the technology vendor operating the CPC 2.0) that if it (I-T
arrives," said Jatin Singh, managing
return) is processed in one day, more amount will be given. We expect this
director of Skymet Weather.
system to be rolled out in 2 years. Faster processing of returns will increase
better tax compliance," Chandra said. El Nino is characterised by higher-
than-usual sea surface temperatures
NITI Aayog pushes for more banking reforms in the east-central Pacific Ocean and
NITI Aayog Vice-Chairman Rajiv Kumar has pushed for more is typically linked with below-normal
banking reforms, including spelling out a "glide path" to southwest monsoon rains in India. Of
lower the country's bank capital adequacy norms to Basel the 20 drought years in India since
III norms, or even lower, as is the case with China. 1901, 13 are associated with El Nino.
The Climate Prediction Centre of the
Kumar also identified governance issues, scale (global-sized US said El Nino emerged in January.
banks), cost of capital, extent of foreign ownership in the There was a 55% probability of it
financial sector, and the need for arrangements to take care persisting till May.
of the long-term finance needs of infrastructure.

BANKING FINANCE | APRIL | 2019 | 11