Thursday, June 30 2005 14:50 Hrs (IST) - World Time -

New Delhi: The Union Cabinet today (Jun 30, 2005) approved additional expenditure of Rs 442.03 crore for full computerisation of income tax department.

"The additional funds are required to meet the enhanced requirements relating to a single national database as part of the sanctioned project for full computerisation of the department and running it for five years," a statement issued after the meeting of the Union Cabinet said today.

Earlier Rs 251.56 crore was sanctioned for the programme.

On completion, the project will enable computerised matching of large database for identifying non-filers and detecting tax evasion which will result in higher revenue collections and increase in efficiency and productivity.

The computerisation will also result in widening and deepening of tax base and increased level of deterrence against tax evasion.

The additional Rs 442.03 crore allocation today is primarily on account of inclusion of expenses in running and managing All India Income Tax Network, National Data Centre, Business Continuity Planning Site, Disaster Recovery Site and Facilities Management Services for a period of five years.