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The Union government has approved Integrated E-filing and Centralised Processing Center 2.0 Project of the Income Tax Department to enhance the efficiency of income tax administration system in the country.
Integrated E-filing and Centralised Processing Center 2.0 Project
The objectives of the Integrated E-filing and Centralised Processing Center 2.0 Project are:
- Faster and accurate outcomes for taxpayer.
- First time right approach.
- Enhancing user experience at all stages.
- Improving taxpayer awareness and education through continuous engagement.
- Promoting voluntary tax compliance.
- Managing outstanding demand.
The project would aid in reducing the time it takes the department for processing returns to just 24 hours from 63 days. The project is also expected to reduce the rectification requests from the current 2% to 0.1% together with reducing the time taken to process rectification requests.
The decision to implement the advance tax filing system was taken to bring transparency and accountability besides faster processing of returns and issue of refunds to the taxpayers’ bank account directly without any interface with the Income Tax Department. As an added advantage the system can aid in promoting voluntary tax compliance and managing outstanding demand due to automation.
The Union Cabinet headed by Prime Minister Narendra Modi has approved a capital infusion of Rs 6,000 crore in state-owned Export-Import Bank of India (Exim) to expand its business.
How the capital infusion would be made?
Key facts about the capital infusion proposal are:
- The government would issue recapitalisation bonds to the tune of Rs 6,000 crore for capital infusion of Exim Bank.
- The capital infusion would take place in two tranches of Rs 4,500 crore in 2018-19 and Rs 1,500 crore in 2019-20 respectively.
- The government has also approved an increase in the bank’s authorised capital from Rs 10,000 crore to Rs 20,000 crore.
Authorised capital refers to the maximum amount of capital for which shares can be issued by a company. The Authorised capital would be mentioned in the Memorandum of Association of the Company and can be increased at any time in future.
The capital infusion and increase in authorised capital give an impetus to new initiatives such as supporting Indian textile industries, likely changes in the Concessional Finance Scheme, likelihood of new letters of credit in future in view of the country’s active foreign policy and strategic intent. This will have a positive impact on increasing the exports of India.
Export-Import Bank of India (Exim Bank)
Exim Bank is a premier export finance institution of India. It was established in 1982 under the Export-Import Bank of India Act to promote the Indian exports. Exim Bank assists the Industries across wide avenues like import of technology, export product development, export production, export marketing, pre-shipment and post-shipment and overseas investment.