India among countries rapidly expanding use of technology for tax compliance: Expert
India is among the countries rapidly expanding the use of technology to improve tax compliance, with platforms such as the Goods and Services Tax Network (GSTN) making the system easier for both taxpayers and tax authorities, a PwC expert said on Wednesday.
Speaking to IANS on the sidelines of the 23rd International Tax Conference organised by Assocham in the national capital, Prashant Agrawal, Partner, Indirect Tax at PwC, said technology has become an integral part of the country’s tax system and should remain a key focus of government policy.
“India is among the countries rapidly increasing the use of technology for tax compliance. GSTN is the best example, where taxpayers and the administration work together,” Agrawal said, adding that a similar transformation is taking place in income tax.
He said technology is now an important component of the tax ecosystem and its role is expected to grow further as tax administration becomes increasingly digital.
Rakesh Nangia, Chairman of Assocham’s Task Force on International Tax, said taxpayers and businesses want a simpler tax system, fewer legal disputes and faster refunds. They also expect global businesses to not face sudden or aggressive tax measures.
Speaking at the event, Nangia said international taxation has moved beyond a phase of rapid change and entered a period of broad structural transformation.
He identified the Tiger Global ruling, the new Income Tax Act, the global minimum tax framework and artificial intelligence as key developments that will shape the future of taxation.
Sandeep Chowdhla, Chairman of Assocham’s National Council on Direct Taxes, said governments are seeking to protect their tax bases, while taxpayers are looking for greater clarity and certainty in the tax system.
