The Full form of the IRS is Indian Revenue Service. Indian Revenue Service (IRS) officers are accountable for collecting and enforcing taxes in India. IRS officers are also in charge of managing direct and indirect taxes in India. IRS is further divided into two departments. First, the Income Tax department and second, the Customs and Central Excise department.
What is the Full Form of IRS?
Indian Revenue Service is the Full form of the IRS. The IRS plays a crucial role in preventing tax fraud and evasion. This ensures that everyone follows the tax laws and pays their fair share, helping to promote fairness and equity in society.
History of Indian Revenue Service (IRS)
The Indian Revenue Service (IRS) came into existence in 1949 after India gained independence from British rule the idea was to merge different tax services including the Indian Civil Service (Income Tax and Central Excise) and Indian Customs and Central Excise Service which gave birth to the IRS. Its primary responsibility was to collect revenue for the Indian government and to enforce tax laws. Over the years the IRS has been reformed and modernized to make its operations more efficient. Today the IRS is considered one of the most prestigious civil services in India and the IRS officers play a critical role in ensuring the collection and enforcement of taxes in the country.
Roles and Responsibilities of the Indian Revenue Service (IRS)
IRS officers are selected through the Civil Services Examination conducted by the Union Public Service Commission (UPSC). Every year lakhs of students appear for the UPSC exam and only a few hundred make it to the final list. This examination consists of three stages—preliminary, Mains, and Interview. The roles and Responsibilities of the Indian Revenue Service (IRS) officers are given below:
- Revenue Policy: IRS officers are responsible for forming rules and regulations related to tax policies and providing circulars and notifications on tax policies. IRS officers are also responsible for the formulation of tax policies and assisting the administration of tax laws.
- Tax collection: IRS officers are responsible for the collection of both direct and indirect taxes (for example collection of income tax and corporate taxes and goods and services tax (GST), customs duty, and excise duty).
- Assessment and Enforcement: The IRS is responsible for assessing the amount of tax payable by taxpayers and enforcing compliance with tax laws through audits, investigations, and penalties.
- Taxpayer Services: The IRS provides taxpayer services such as filing assistance and tax-related information and also grievance redressal.
- International Taxation: The IRS is responsible for administrating international tax laws and treaties including transfer pricing regulations and tax treaties between India and other countries.
- Intelligence and Investigation: The IRS is also responsible for gathering intelligence on tax evaders and investigating tax evasion and other related offenses.
So we can say that the contributions of an IRS in society are crucial to ensuring that the government operates effectively and efficiently and that everyone pays their fair share of taxes.