Finance Minister Nirmala Sitharaman has eased the burden for citizens by withdrawing outstanding direct tax demands up to ₹25,000 for FY 2009-10 and up to ₹10,000 for 2010-11 to 2014-15. This move is aligned with the government’s commitment to provide ease of living and is set to benefit approximately 10 million taxpayers.
“I suggest the withdrawal of outstanding direct tax demands up to ₹25,000 for the period up to the financial year 2009-10 and up to ₹10,000 for financial years 2010-11 to 2014-15. This move is anticipated to benefit around a crore taxpayers,” announced Sitharaman during her Interim Budget speech in Parliament.
In line with the government’s commitment to ease citizens’ lives and reduce compliance burdens, Finance Minister Sitharaman announced a decision benefiting middle-class salaried individuals. Emphasizing the government’s vision for improved living and business ease, she made an announcement to enhance taxpayer services.
The move aims to reduce old tax litigations, freeing up the tax department’s time and energy. By avoiding unnecessary disputes, the focus can shift to enhancing tax administration for increased revenue. Finance Minister Sitharaman emphasized the mental relief for small taxpayers and the department’s energy redirection towards constructive work. Numerous unresolved and disputed direct tax demands, some dating back to 1962, have caused anxiety for honest taxpayers and delayed refunds.