Prime Minister Narendra Modi on August 13 launched the 'Transparent Taxation' platform while announcing multiple reforms to improve tax compliance, faceless assessment and ease of filing returns. As part of the rehaul, the government has also proposed to reduce the threshold of various transactions for tax disclosure. This is aimed at widening the income tax base and checking tax evasion.
The list will now include white good purchases, property tax payment, medical and life insurance premium and even hotel payments.
So, the next time you pay a hotel bill or medical insurance premium of more than Rs 20,000, incur an expenditure exceeding Rs 50,000 on life insurance or over Rs 1 lakh for school fee, purchase white goods, jewellery, marble or paintings (see image below), be mindful that the entity you have made the payment to will be informing the government of your transaction.