Telangana Proposes 3 New Tax Divisions to Boost Revenue Collection
Hyderabad: 3 New Tax Divisions Proposed for Better Administration

In a significant move aimed at streamlining tax administration and boosting revenue, the Telangana commercial taxes department has unveiled a proposal to decentralize its operations. The plan involves a major restructuring of existing boundaries to create at least three new administrative divisions across key economic zones in the state.

Focus on High-Growth Economic Corridors

The restructuring blueprint is strategically designed to cater to rapidly expanding industrial and technological hubs. The department plans to establish a dedicated 'Shamshabad Division' to oversee the burgeoning areas of Shamshabad and Shadnagar, which have seen explosive growth in recent years.

Furthermore, a 'Sangareddy Division' is proposed to manage the vital industrial clusters of Patancheru, Pashamylaram, and Zaheerabad. Perhaps most notably, the plan calls for carving out a 'Jubilee Hills/Gachibowli Division' specifically for the state's famous IT corridor. This new division would separately administer areas like Gachibowli, Narsingi, and Kokapet, which are currently under the Madhapur and Panjagutta divisions.

Strengthening the Frontline: New Officers and Technology

The proposal is not merely about redrawing maps. It includes a comprehensive plan to bolster the department's human resources and technological capabilities. A Joint Commissioner will be appointed to lead each of the three new divisions, ensuring focused leadership.

To intensify enforcement and improve analytical capabilities, the department suggests designating a special officer for enforcement and hiring data analysis experts. A key focus is on strengthening the circle offices, which are the primary interface with taxpayers. Officials have highlighted a disparity, noting that while the central tax department operates 152 field offices, Telangana has only 118 circles.

They advocate for establishing new circles, with each intended to serve a manageable number of approximately 2,500 taxpayers. Officials frame this expansion as a crucial investment that will yield long-term revenue benefits, rather than a simple administrative expense. The plan also includes equipping every officer with essential tools like laptops and printing devices to improve efficiency.

Targeted Oversight for Top Taxpayers

In a move to ensure focused attention on major revenue contributors, the proposal includes a special provision for high-value dealers. The department plans to identify the top 200 tax-paying dealers in Telangana and place them under the direct supervision of the 'Audit and Enforcement Wing'.

To facilitate this concentrated oversight, the plan recommends appointing two new commissioners. Each commissioner would be personally responsible for monitoring the compliance and accounts of 100 of these top dealers. This targeted approach aims to secure revenue from the state's largest economic players while providing them with dedicated support.

The overarching goal of these sweeping reforms is to create a more responsive, efficient, and robust tax administration system. By decentralizing authority and bringing administrative units closer to thriving economic centers, the Telangana government aims to enhance taxpayer services and fortify its revenue collection machinery for the future.