Tax department to engage with corporates to spur receipts

Advance tax collection up to September 15 slowed to 11 per cent as against 14 per cent last year

Amid slowing growth in advance tax collections, the income-tax department is exploring enhanced engagement with the top 100 companies to facilitate compliance. A committee set up under the direct tax department to review assessment and scrutiny has identified “taxpayer segmentation” to improve collections.

“The idea is to provide differential treatment to big taxpayers as they make up for the bulk of the revenue collection. The tax department is, after all, a 30 per cent stakeholder in corporate sector earnings. Stepping up engagement with them will help the department and the companies,” said a government official.

The idea is to have a dedicated