Now after digitization has fast taken over all and every sphere of life, income earners mostly from small businesses and those drawing income by way of rent within the 10 lakh slab have out of fear that now everything is under government's eye is fast gearing up to pay taxes. And in comparison to mere 16% and 24% rise in taxpayer category in Rs. 0 to Rs. 5 lakh income and Rs. 5 lakh to Rs. 10 lakh income categories, there has been a phenomenal rise in taxpayers until December of the current FY of the order 44% and 49%, respectively.
As told to a leading business daily, "This robust rise in tax compliance among the income group below the Rs 10 lakh income slab is mainly due to the fear factor getting created in their mind after the rise in the digital economy." And this is further on the perception that now due to increasing clamp down, taxapayers cannot hide unaccounted money.
There is now greater transparency and individuals cannot even intentionally escape tax net plus late tax filing penalty is providing a much needed impetus to comply with tax structure of the government.