SHILLONG: The income earned by tribal persons in scheduled areas is exempted from taxation and not all incomes of indigenous people or non-individuals, said chief commissioner of income tax in Shillong Ronmoy Das on Wednesday.
Addressing a gathering at a workshop for journalists named Vartalap at Shillong Club in the city, Das said there is a general incorrect impression that all incomes of tribal persons and non-individuals, like partnerships, LLPs and companies, are exempt.
“In fact, it is only the income earned in the scheduled area by such tribal persons which is exempt. Incomes of all entities other than individuals and incomes of tribal persons outside scheduled areas are subject to income tax,” he said and added that the workshop “will make people aware of such provisions”.
Das also referred to the ongoing publicity campaign of the Income Tax Department, North East Region (NER), regarding income tax obligations of people in the region.
Journalists from across the state participated in the workshop that was organised by the Press Information Bureau (PIB), Shillong, in association with Shillong Press Club.
Das appreciated the efforts of PIB and the local press club in organising workshops for journalists and said the success of any scheme or policy of the government depends on proper dissemination of information to the masses.
“This kind of initiative will help in clearing the apprehensions of the tribal people regarding income tax,” said Alantry F Dkhar, political advisor to the chief minister, who also advised the Income Tax Department to start awareness campaigns in local languages as well.
Dr Engame Pame, director of Regional Outreach Bureau in Shillong, said a well-informed press also helps to clarify doubts among the public regarding government policies.
During the technical session, Anil Bhardwaj, additional commissioner of income tax, gave a detailed presentation on direct taxation and Section 10(26) of the Income Tax Act with reference to tribal areas.
Bhardwaj also highlighted new provisions prohibiting certain types of transactions, particularly cash
transactions, which attract high penalties. “Since the northeastern region has low banking coverage, people may inadvertently enter into the prohibited transactions and become exposed to penal provisions,” he said.
“The Benami Transactions (Prohibition) Amendment Act, 2016, imposes obligations on taxpayers and others not to indulge in certain types of transactions or to report such transactions. This workshop seeks to spread awareness on such laws and prohibitions and obligations,” he added.
This is for the first time that such dedicated campaign has been launched in the region for the benefit of taxpayers.
The technical session was followed by an interactive session where the resource persons replied to queries of the participating journalists.