BackCBDT inks data-sharing deal with CBIC to step up info gathering
The new deal is key as it covers the goods and services tax network, the repository of all GST-related data
PremiumNEW DELHI : The Central Board of Direct Taxes (CBDT) is stepping up its information gathering efforts with a new data sharing deal with the indirect tax administration--the Central Board of Indirect Taxes and Customs (CBIC), said an official statement on Tuesday.
A new deal has been signed between the two authorities for exchange of data replacing a 2015 agreement, said CBDT. The new deal is significant as it covers the Goods and Services Tax Network (GSTN), the repository of all GST related data, which came into existence since the last deal was signed.
GSTN is a rich source of both business and consumer intelligence across the entire value chain of products and services. It offers a glimpse of the entire series of transactions businesses get into from procuring raw materials and services to offering the finished products across the country. Free flow of information between CBDT and GSTN will help in profiling tax payers in terms of their compliance track record and pre-empt any tax evasion.
CBDT said that its chairman Pramod Chandra Mody and CBIC chairman Ajit Kumar signed the deal which supersedes the earlier one which was signed with CBIC’s predecessor—Central Board of Excise and Customs.
“This memorandum of understanding will facilitate the sharing of data and information between CBDT and CBIC on an automatic and regular basis. In addition to regular exchange of data, CBDT and CBIC will also exchange with each other, on request and spontaneous basis, any information available in their respective databases which may have utility for the other organisation," said the statement.
On Monday, the direct tax administration signed a similar deal with the ministry of micro, small and medium enterprises for exchange of information. The government is keen to keep the risk of revenue losses due to non-compliance to the minimum at a time a decelerating economy is expected to put pressure on revenue receipts.
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