
NEW DELHI, JAN 22: For the ordinary taxpayer who, after Finance Minister Yashwant Sinha8217;s last budget, was looking forward to getting priority in areas such as railway bookings or school admissions, the ministry8217;s new Samman scheme is a big let-down. Many such suggestions, CBDT chief Ravi Kant told reporters here today, had been considered, but were found to be impractical. In the event, while the ministry has come up with some innovative ideas for its Samman scheme, most of these apply only to the top, or very high net-worth individuals 8212; in the case of salaried tax-payers, for instance, the national-level Samman certificate will be given only to those whose annual declared income is more than Rs 20 lakh in four of the five preceding years.
Under the scheme, details for which were finalised just a couple of days ago, regional level Samman will be given to the highest tax payer at each of the 461 income tax officers. The National level Samman for the high-ticket tax-payers will be given in three categories8211; businessmen, professionals and salaried people. The top tax payer at the National level will also be given an Aaykar Ratna. All told, at both the regional and national level, the government believes the number of Samman winners will be around 4,000. The certificates for the current year will be given in the first quarter of next year.
Apart from the obvious satisfaction and honour of the award, the department of direct taxes has decided to award certain facilities to such awardees as well. All Sammanees8217; will get an automatic three year tax clearance certificate for transacting in property as well as for going abroad. Currently, if you sell property worth more than Rs 5 lakh, you need a tax-dues clearance certificate. Similarly, apart from for tourist travel, a tax clearance certificate is required for all foreign travel. For a period of three years, the sammanees8217; will not need any special clearance.
These individuals will also get priority in getting tax refunds, and apart from very specialcircumstances, there will be no scrutiny of their income tax returns for a period of three years.
As for the rest, the ordinary but honest taxpayer, the government has promised to make available better waiting room facilities with newspapers and magazines, phone and photocopy facilities. There will be rooms or officers designated to help you get the correct forms. In certain cases, the income tax department may even set up special camps in certain areas, to facilitate depositing income tax return forms.
What Samman Means