3 IRS officers suspended after bidding Income Tax hike

Three IRS officers suspended after suggesting income tax hike to fight coronavirus

Representative image

A day after a group of 50 Indian Tenur Services officials suggested raising income tax levies on tax-payers as a measure to reconstruct the coronavirus-ravaged economy, three of the key officials among them were suspended late on Monday evening.

The charges have also been framed against them for a conduct rule violation.

For latest updates and live news on coronavirus, click here

Those place under suspension are -- Prashant Bhushan, a 1988 batch IRS officer, and general secretary of the Indian Revenue Service Association, Prakash Dubey, joint secretary of the IRS Association and Sanjay Bahadur.

They have been charged with getting young income tax officers to prepare a report which was placed in the public domain by the IRS Association.

In a report named FORCE, these officials had suggested an upward revision in income tax rates for the super-rich to 40,% from the existing 30%, bringing back of inheritance and wealth tax and a COVID-19 relief cess of 4% on those with a taxable income of Rs 10 lakh.

The finance ministry distances itself from the report calling it ill-conceived and irresponsible ours after the report went viral on social media and the government came under attack for levying an additional tax burden on people already rendered helpless by coronavirus.