Indian IRS 'walks the talk' on non-adversarial regime
By Ameya Kunte On December 29 2016
One of the highlights of 2016 would be the number of clarification issued by the Indian tax administration. In this year, Indian Revenue has issued 43 "circulars" till date, substantially higher than the earlier years. Ofcourse, the IDS - 1 and Dispute Resolution Scheme warranted more interventions in 2016.
A quick look at the count of circulars issued in the last few years (see below), would reveal that the Indian tax administration is clarifying more and more issues upfront.
2016 - 43
2015 - 25
2014 - 17
2013 - 10
Another significant aspect of these circulars is bolstering of non-adversarial regime. Government has clarified position in clos to dozen circulars and has assured that the income tax department shall not pursue any litigation on these issues.
I hope that the trend continues in 2017 too, the year in which GAAR and few more BEPS proposals would be implemented in India.