KCCI demands tax facilitation centres, ITAT camps in JK and Ladakh

Srinagar: The Kashmir Chamber of Commerce and Industry (KCCI) has raised several issues affecting taxpayers in Jammu & Kashmir and Ladakh during a Familiarisation Programme on the proposed Income Tax Act, 2025, organised by the Income Tax Department in Srinagar.

The programme was attended by Chief Commissioner of Income Tax (Amritsar Region) Dr GS Phani Kishore and Principal Commissioner of Income Tax, J&K, Monika Dhami, along with senior departmental officers, tax professionals and representatives of trade and industry.

The KCCI delegation was led by its President Javid Ahmad Tenga and included Vice President Farooq Amin, Secretary General Faiz Ahmad Bakshi and Executive Committee members Ashiq Hussain Shangloo and Bashir Ahmad Naik.

During the interactive session, KCCI welcomed the department’s initiative to engage stakeholders on the proposed legislation and stressed the need for sustained dialogue between tax authorities and the business community.

The Chamber submitted a detailed memorandum highlighting challenges faced by taxpayers in the region, including difficulties in accessing Income Tax services in remote districts, limited awareness of compliance procedures, delays in grievance redressal, issues related to faceless proceedings, refund processing delays, lack of professional tax support, language barriers and disruptions caused by adverse weather conditions and road closures.

KCCI also proposed several measures to improve taxpayer services, including the establishment of Income Tax Facilitation Centres in districts such as Kupwara, Ganderbal, Bandipora, Leh and Kargil, regular taxpayer awareness programmes, simplified departmental communication, stronger grievance redressal mechanisms and capacity-building initiatives for taxpayers and professionals.

A major issue raised by the Chamber was the jurisdiction of South Kashmir districts — Anantnag, Kulgam, Pulwama and Shopian — which currently fall under the Income Tax Office, Udhampur, following the restructuring of jurisdictional charges in 2020. KCCI said the arrangement causes hardships to taxpayers, particularly when National Highway-44 remains closed due to snowfall, landslides and inclement weather.

The Chamber urged the department to shift the jurisdiction of these districts to Anantnag by redesignating the existing Verification Unit as a regular Income Tax Office.

The Chamber also sought the establishment of an Income Tax Officer (Exemptions) office in Srinagar to cater to charitable, educational and non-profit institutions, besides requesting regular camp sittings of the Income Tax Appellate Tribunal (ITAT), Amritsar Bench, in Srinagar to facilitate easier access to appellate remedies and reduce litigation costs.

Responding to the concerns, Dr. G.S. Phani Kishore assured the participants that the department remains committed to improving taxpayer services and that the issues raised would receive due consideration.

Principal Commissioner Monika Dhami informed the gathering that taxpayer awareness and outreach programmes would be conducted in north Kashmir, including Baramulla, Sopore and Kupwara, to improve compliance and awareness.

KCCI expressed appreciation for the department’s positive response and hoped that the issues highlighted during the programme would be addressed to strengthen taxpayer services and ease of compliance across Jammu and Kashmir and Ladakh.