India is My Country and To Pay Others Taxes is

also My Duty
Karniti Part 50
India is My Country and To Pay Others Taxes is also My Duty

Arjuna (Fictional Character): Krishna, In India on 15th August 68th Independence Day and on 17th
August Shri Krishna Jannamashtmi was celebrated. Bhagwadgita has narrated the importance of strength,
worship, intelligence. In todays world due to these occasions all gets a lesson of brotherhood and love
towards nation. But in real sense when did todays taxpayer will become independent?

Krishna (Fictional Character): Arjuna, all feels proud to be Indian. Growth of the nation is carried out from
the taxes collected from the taxpayers. For financial growth of the nation it is necessary to pay taxes.
Taxpayer will have to pay his own taxes simultaneously taxpayer is required to pay taxes of the person with
whom transactions were incurred. As if on Jannamashtami while breaking the Dahi Handi aim is
achieved by putting pressure of one on other.

Arjuna: Krishna, in Income Tax how other taxes were paid?
Krishna: Arjuna, Taxpayer will have to pay TDS as per provisions of Income Tax. It means while giving
remuneration to other tax is required to be deducted and deposited with the government. For e.g. Mr. A is
doing job with Mr. B. then Mr. B will have to deduct the TDS while paying salary to Mr. A and deposit the
same with the government. Further if the taxpayer did not deposit the TDS with the government on time then
the taxpayer is required to pay interest on it. Further if taxpayer did not file TDS return on time then late
filing fees will have to be paid. It means taxpayers will have to pay other taxes and he is also responsible to
pay interest and late filing fees.

Arjuna: Krishna, in Service Tax how other taxes were paid?
Krishna: Arjuna, in service tax as per provisions of Reverse Charge Mechanism taxpayer on various types of
services received as per provision is required to pay service tax of service provider. Further is service tax of
other is late paid then interest and penalty is also levied. For e.g. Corporate taxpayer will have to pay service
tax on transportation services received by it. Similarly the recipient of services of director, lawyer, security
service, works contract service is required to pay service tax.

Arjuna: Krishna, now does others taxes are required to be paid in VAT?
Krishna: Arjuna, VAT department verified the set off availed by the dealer at the time of assessment or
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through CDA system. If supplier has not paid taxes or has not filed the return or is supplier has not shown the
sale made the dealer in return then the dealer have to pay taxes and interest and penalty on it. For e.g. If A
has purchased goods from B and B has not paid taxes or not filed return then A will have to pay taxes on the
goods purchased with interest and penalty.

Arjuna: Krishna, why one need to pay others taxes?
Krishna: Arjuna, due to collecting taxes from others in income tax and service tax government can collect
the taxes transaction wise. Therefore small amount of taxes were paid and at the end the burden of paying
huge taxes reduces. Government and taxpayer receive the information of taxes collected and paid from 26
AS. But taxpayer has to suffer from interest, penalty and late filing fees. In VAT government collects taxes
after carrying out transactions on the basis of information of suppliers payment of taxes. While doing
transactions the dealer is not aware of payment of taxes due to these reasons. Therefore the dealer faces
problem. In VAT there is no system of paying taxes at the time of transactions like in income tax. I have paid
my taxes and become independent this does not happen. Therefore taxpayer is not independent.

Arjuna: What one should learn on this occasion of Shri Krishna Jannamashtami?
Krishna: Arjuna, in life only looking at self doesnt work. As in family others work is required to be done for
growth of nation all will have to work and will have to help one and other. Government cannot work alone
therefore taxpayer should follow its duty by considering all perspectives. Happy Jannamashtami to all.

Source : -
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