Faceless tax reform. Biggest tax reform ever?

The government has placed a faceless tax reform which might be the biggest tax reform ever seen, but what is it and how does it work ?

In an attempt to honour the ones who honestly pay their taxes, PM Modi, has announced to launch this new reform. This is called the "Transparent Taxation-Honoring the Honest" and is apparently going to be the largest tax reform ever seen in India. One of the largest changes would be the faceless taxation system, but there is more.

This reform would change the way taxes are paid. The faceless committee would be verifying income tax returns and also managing and answering all queries arising nationwide. The assessment and charter which are 14 rubric points have been placed in action today. These 14 points revolve around the idea of providing prompt services in terms of returns/answers/deposit acceptance, treat everyone as an honest tax payer unless related speculations can be backed up by evidence, and maintaining privacy.

The teams which are to provide these services have been picked randomly in each city and have had their identities hidden from everyone. The tax related cases would be firstly taken through an online portal and will have no interface which connects any officer and the tax filer. The AI would randomly based on its perception send the cases to random teams across the nation.

Through this the tax payer is not liable to meet an officer, visit an office, or have to move around in search of appointments. This is a method of eradicating bias which are generated through the taxation system, generally due to bribery. However, it must be realised that filing tax for individuals which have been working through parallel markets has never been an issue.

Generally due to the case of NGOs and the 80G certificate, which are ta benefits awarded to individuals who donate funds to honourable causes, thus, any sum of money which originally would be deemed as "black" turns "white". Similarly in this case, the decision and the motive might be right, however, as large firms which have been involved in political disputes and using the taxation system to their advantage have enough means to file taxes while still walking away with most of the profits and incomes.

Thus, this might be a method which can reduce these issues in the nation, however, it must be realised that this is not the solution in itself.