Starting July 24, 2024, the Indian government has made it mandatory for individuals leaving the country to obtain a tax clearance certificate. This new requirement is part of the budget measures aimed at curbing tax evasion and ensuring that individuals are compliant with their tax obligations.
The tax clearance certificate will serve as proof that an individual has cleared all their tax dues before leaving the country. This move is expected to prevent tax defaulters from fleeing the country without settling their outstanding tax liabilities.
The decision comes as the government intensifies its efforts to improve tax compliance and increase revenue collection. By requiring individuals to obtain a tax clearance certificate before leaving the country, the government aims to ensure that everyone fulfills their tax obligations and pays their fair share towards nation-building.
The new requirement may impact individuals planning to travel abroad for leisure, work, or other reasons. Failure to obtain a tax clearance certificate may result in travel delays or possible legal consequences for individuals who attempt to leave the country without fulfilling this obligation.
Overall, the new tax clearance certificate requirement underscores the government’s commitment to enforcing tax compliance and cracking down on tax evasion. It will be important for individuals planning to travel abroad to ensure that they obtain the necessary clearance before their departure to avoid any potential issues or penalties.
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