Date:22/07/2004 URL: http://www.thehindubusinessline.com/2004/07/22/stories/2004072200451100.htm

Back CPAs join lawyers and doctors as defaulters

AMONG the list of people who did not file tax returns for 2002 are 865 millionaires, 6,756 lawyers, 1,458 CPAs and 20,473 medical professionals, according to California's taxmen. Citing The Wall Street Journal, AccountingWEB reports that tax officials are turning to sophisticated document matching programmes, information sharing and tax amnesty programmes to recover back taxes.

"Some people don't file on time due to health problems or family crises," notes the report.

Also, some don't file thinking it's okay because a refund is due, but that's wrong, advises AccountingWeb: "Think again. To get your money, you have to file within three years of the date your return was due."

$1.1 billion to accountant

ONE of the headlines in AccountingWeb reads, "Widow Leaves $1.1 Billion to Her Accountant." It is about the recent controversy raging between the Birlas and Lodha.

"In a move that stunned her surviving family members, one of India's richest women left her entire estate to her accountant, who was also in the possession of the will at the time of her death last week," is a quote from the British Broadcasting Company as posted on AccountingWeb. A tussle that needs to be resolved quickly in the interest of the profession.

Red tape burden

THE Institute of Directors (IoD) in the UK has did a survey and found that red tape is still tying down UK business.

"Petty rules and regulations, incompetence and misplaced `assistance' continue to hinder business expansion and job creation," is what the Institute found, according the AccountingWeb.

"For the first time, 45 businesses have revealed just how difficult life can be on the bureaucratic front line. Cases of unnecessary and costly red tape and burdensome bureaucracy emerge across all facets of business activity from employment law, to planning, to health and safety rules."

One such example is this: "Herts building firm ordered to install a speed hump within a much-needed housing development by the local Council, and then charged Ł12,000 for the Council to `supervise'. Actual cost of constructing speed hump — Ł3,000."

GlobeTrot@TheHindu.co.in