Project Insight : All you need to Know

Introduction

• Project Insight is an initiative of finance ministry 
• The main aim of the project is to detect tax evaders with the help of technology 
• The project also aims to widen the tax base 
• Project Insight is likely to be implemented in this calendar year 2017 – 2018 

Nodal Agency

• Finance Ministry 
• Tax department 
• Banks and other financial institutions 

Tax Information collated by Insight

• Integration of tax data among banks, government departments and financial institutions 
• Tax department to set up a new processing centre that is centralized to monitor tax payments 
• The existing network of PAN based tax transactions is also used to monitor 
• The project will verify and collate information received from third party, financial institutions and banks 
• Insight integrates tax information received from all sources in an accurate and timely manner 

Additional Features

• Compliance management systems are being developed 
• Project Insight will handle all preliminary verification, follow up of information and bulk letter generation and notice generation pertaining to tax evasion 
• Insight will serve as the centre for tax data exchange for various government departments 

Significance

• Project Insight is yet another initiative to curb black money 
• It will aid in the implementation of GST 
• DTAA implementation will be made easy through Insight 
• All Tax based information from the recent Income Disclosure scheme are added 
• The large pool of information will be useful in data mining to track the tax evaders 
• The tax base will also widen gradually 
• Tax evaders will be caught in a digital manner rather than the usual method of search and seizing 

Conclusion

• Insight will help in resolution of tax issues in online manner 
• Voluntary compliance of tax evaders is possible in a digital manner 
• Tax payers can get the advantage of paying tax online reducing the hassles and time spent visiting the tax office physically 
• Insight will enhance tax collections from the corporate and industry sector 
• Insight will also benefit the individual tax payers 
• The tax base and tax payers will increase as a result of digital monitoring of payments 
• Foreign relations of India pertaining to tax matters will improve 
• Insight will be an upgraded technical infrastructure that will help in contribution of DTAA, FATCA and CRS 
• Overall, Insight is a digital means to make tax payments transparent and curb black money 

Smart Prep Kit by Ramandeep Singh - Get here

Bank Exams Today Notes

Join 40,000+ readers and get free notes in your email

Let's block ads! (Why?)

- http://www.bankexamstoday.com/2017/01/project-insight-all-you-need-to-know.html