Taxindiaonline.com Taxindiaonline.com Taxindiainternational.com HRindiaonline.com
 
LOGIN
Forgot Password |  Register
Friday , November 21, 2014 | Updated : Nov 21, 19:54 IST
Income Tax    Customs    Excise    Service Tax    FEMA    DGFT    SEZ    Misc    Pitara    Budget   
About Us Contact Us Advertise
Taxindiaonline.com Taxindiaonline.com Taxindiainternational.com
NEWS FLASH
 
UN Chief welcomes pledges of more than USD 9.3 bn to Green Climate Fund (See 'Mixed Buzz') RBI directs banks to give one month notice to customers before levying penal charges on non-maintenance of minimum balances in savings accounts (See RBI Notification in ‘FEMA’) ECB Policy amended: RBI allows six months parking of proceeds abroad (See Cir 39 in 'What's New') Black Money can destabilise world peace: Prime Minister China cuts interest rate to boost up growth rate Govt to spend Rs 25300 Crore to curb open theft of power US Govt extends legal status to 50 lakhs illegal immigrants I-T - Whether when assessee receives refundable advance as per MoU for joint development of land, such sum is capital receipt, not taxable in the hand of assessee - YES: ITAT (See 'Breaking News') Tribunal has no power to direct pre-deposit while remanding a case - logically question of deposit does not arise unless there is an adjudication: High Court (See 'DDT' Column) NASSCOM is not liable to pay ST under category of Club & Association service in respect of subscription amount charged from members: CESTAT (See 'Breaking News') Mandatory Deposit - Love it or hate it, but learn to live with it! (Part II) (See 'Guest' Column) Cus - Recovery of incineration charges for destruction of goods as per SC order - there is no provision for grant of stay by CESTAT or for that matter under Customs - Tribunal has no jurisdiction whatsoever: CESTAT (See 'Breaking News') NRIs - Acquisition/Transfer of Immovable property - Payment of Taxes - RBI clarifies (See 'DDT') Whether Assessees can be compelled for payment of tax at revised compounded rates when choice of assessee, as to manner of payment of tax, was based on particular provision of law as it stood at time of exercise of option, and that basis was thereafter changed: HC (See '2014-TIOL-2009') SEZ Vizag needs a Development Commissioner (See 'DDT') Cabinet endorses SAARC Rail Network, Motor Vehicle Agreement and pact for energy cooperation (See 'Breaking News') SC directs CBI Director to recuse himself from monitoring of investigations in 2G Scam Export of software & services - Repatriation of exports proceeds - RBI extends period to nine months (See 'RBI Cir' in What's New) FM directs bankers to hike flow of credit (See 'Mixed Buzz') Summons issued by Superintendent (Prev) is not an 'order' that can be appealed against: CESTAT (See 'Breaking News') CBEC notifies Customs exchange rates effective from Nov 21 (See 'What's New') Lok Sabha Speaker calls for reform of anachronistic UNSC Cong alleges Govt promoting black money by re-introducing KVP FM discusses measures with heads of PSBs to curb soaring NPAs Govt abolishes licensing for Ammonium Nitrate Fuel Oil (See 'Mixed Buzz') Govt okays Chennai Monorail Project for Rs 3267 Crore Court orders CBI to conduct further probe in Coal Scam CESTAT President issues transfer order of Judicial Members (See Order in 'Service News') If you know how to use the Cell Phone, filing the IT Return is not difficult - Revenue Secretary (See 'DDT' Column) Income tax - Whether when assessee facing Customs duty evasion charge deposits certain sums as per High Court's bail order, same cannot be construed as penal in nature till the time adjudication is pending - YES: ITAT (See 'Breaking News') G20 Summit - Is It the Making of a New International Taxation Order? (See 'The Cob(Web)' Column) ST - Refund - When it is held that no Service Tax is payable, whatever has been paid by appellant, whether by way of tax or interest, has to be treated as deposit and amount is to be refunded: CESTAT (See 'Breaking News') Six Months Time for taking CENVAT Credit – Not Applicable for Re-credit – CBEC Clarifies (See 'DDT' Column) When Appeal Dismissed due to low tax effect, no ruling on the Issue: High Court (See 'DDT') Commercial Employment by Retired Babus – Form for Permission Revised (See 'DDT') CBEC clarifies on availment of CENVAT Credit after six months (See Cir 990 in 'What's New')
 
Bookmark and Share
Making People Pay - The Economic Sociology of Taxation

Authored by Sibichen K Mathew
Published by Global Vision Publication House
No of Pages: 299
Price: Rs 599

Legal Corner Icon

By N Nityananda, CA

Legal Corner IconMANY novels and fictions are so gripping that readers once they start seldom stop till the last page. That cannot be said about books on Economics and more so on taxation!! Here is a well researched and multidimensional book on taxation, which makes an interesting reading of a dry (?) subject like taxation.

The book starts of with the question in every taxpayer's mind – Why should I pay taxes? The author has illustrated various justifications of the taxpayers for the tax evasion and dodging. The reasoning ranges from a fundamental issue of absence of reciprocal benefit from the state to the intolerable fact of tax evasion perceived in their surroundings. It is in this constant dilemma of a citizen, the book ‘Making People Pay' – the Economic Sociology of Taxation is to say the least – is the light at the end of the tunnel. The credibility of this book is higher as the author is a scholar on the subject and he has alongside direct experience in the tax machinery of our vast country.

The system of taxation has traveled a long way from the historic approach of a smooth process akin to a bee collecting honey from a flower to a world of legal complexity, administrative heterogeneity and political inconsistency. But has it taken the entire tax paying population alongside is a difficult question to answer. The book rightly analyses that the economic models are unable to capture the behaviors of taxpayers.

The chapter on Indian and global tax history makes an interesting reading. The evolution of taxation through a series of wars far and wide, colonialism and tax revolts are well captured. Today we read in newspapers about the crores of rupees of taxes paid by Bollywood and cricket stars. The book compares this trend with the tax regime during ancient India, particularly of 324 BC (Mauryan Kingdom), when dancers and actors paid good amount of taxes compared to the businessmen. The pilgrim taxes and taxation used as a tool of discrimination amongst religions by rulers of both ancient and medieval India.

Then comes the relationship and conflicts of ideology between Politics and Economics. Author has analyzed the dilemmas in public policy, as there is an inevitable conflict of ideology between the political commitments and long-term desirability of such commitments for the country. He has also critically analyzed the link between black money, voluntary political funding and public policy compulsions.

The heart of this book is the analytical discussions on the subjects of tax evasion and tax enforcement. The author displays his vast knowledge and experience while dissecting the causes and consequences of tax enforcement, particularly income tax raids. This may be the first such study in the world that has analyzed the sociological and economic aspects of the invasion to private lives by an enforcement agency. From the how and why of tax evasion to the interviews of those who were raided by the investigation wing of the department adds value to the reader. The study has results which are astonishing, to say the least 73% of the respondents say that the IT raid helped in organizing their business better and 84% say that they are more systematic in recording and maintaining the accounts and 53% say that they have achieved better financial results after the raid only. Only 15 to 32% complain of losing their business to losing their customers on account of raids. The research by the author also points out the 76% of the respondents agree that in recent years there is better tax compliance. But it is surprising to find that many taxpayers openly admitted that they evade their taxes even after an income tax search.

The book clearly showcases the modus operandi followed by tax evaders and the reasons for tax evasion as perceived by them. These facts are not collected from any official records, but from the data gathered from the taxpayers themselves. The author has also delineated the expectations of the taxpayers from the government, tax system and tax officials. His analysis of the fiscal challenges for the developing economies in the context of globalization and tax competition is scholarly and academically stimulating.

The book has its own share of humour with cartoons by gifted cartoonist Mr.Sajjive Balakrishnan. One cartoon depicts how ‘Speech is Silver' to a taxman and ‘Silence is Golden' to a taxpayer!!! The forewords written by the SSN Murthy, Chairman CBDT and M N Venkatachaliah, former Chief Justice of India are very inspiring and informative.

When I started reading the book, I was engrossed and when I completed the reading, I felt more enriched and rewarded. It is a must read to all citizens – young and old. The details can be found at http://makingpeoplepay.blogspot.com.


POST YOUR COMMENTS
   
 
 
TIOL Mobile App
TIOL SEARCH
 
TIOL Subscriptions
 All-In-One Package
 Indirect Tax Package
 Income Tax Package
<< More Packages>>
 
   
             
Income Tax Customs Excise Service Tax FEMA DGFT SEZ Misc Pitara Budget
  • Notifications
  • Circulars
  • SC Cases
  • HC Cases
  • ITAT Cases
  • Instructions
  • Advance Ruling
  • Settlement
  • Other Case
  • Directorate of Income Tax (Systems)
  • Tariff Notfn
  • Non Tariff Notfn
  • Circulars
  • SC Cases
  • HC Cases
  • Cestat Cases
  • Settlement
  • Advance Ruling
  • Safeguard Duty Notfn
  • Anti-dumping Notfn
  • Drawback Cases
  • Tariff Notfn
  • Non Tariff Notfn
  • Circulars
  • SC Cases
  • HC Cases
  • Cestat Cases
  • Settlement
  • Advance Ruling
  • Excise Amendment
  • Clean Energy Cess Notfn
  • MISC Circulars
  • 37B Order
  • Commr.(A) Order
  • CESTAT
  • Notifications
  • Circulars
  • SC Cases
  • HC Cases
  • Cestat Cases
  • Miscellaneous
  • Advance Ruling
  • FAQ
  • Finance Act, 1994
  • Commr. (A) Orders
  • 37B Order
  • Removal of Difficulty
  • VCES
  • Accounting Head
  • Exchange Manual
  • Fema Notifications
  • SC Cases
  • HC Cases
  • RBI Notifications
  • Act
  • Rules
  • Regulations
  • Master Circulars
  • RBI Circulars
  • Depository Scheme
  • Notifications
  • Circulars
  • Public Notices
  • Trade Notice
  • FTDR Amendment 2010
  • MISC
  • State Acts
  • Notifications
  • Instructions
  • Act 2005
  • Rules 2006
  • DGEP
  • State Policy
  • SC Cases
  • HC Cases
  • VAT Cases
  • Deputation Posts
  • Service News
  • The Insider
  • Transfer
  • Promotion
  • Recruitment Rules
  • Transfer Policy
  • Training Circulars
  • Service Cases
  • MISC
  • Pay Commission
  • Cadre Review
  • Budget Circular 2013-14
  • Union Budgets
  • Economic Surveys
  • Budget Speeches
  • Finance Acts
  • Finance Bill
  • TRU - D. O. Letter
  • A Taxindiaonline Website. Copyright © 2014 Taxindiaonline.com Pvt.Ltd. All rights reserved. | Powered by 4th Dimension