2025, Vol. 8, Issue 1

author(s)
Nikunj S Patel, Monalkumar B Sathvara, Tanvi D Patel and Avani A Patel

abstract
A sign of civilization is taxation. In the great ancient empires, taxes changed and developed on their own. The principles that developed were taken to other civilizations and empires, where they were ingrained in taxation. As countries are impacted by changes in taxes from other nations, this pattern is still present today. Through mutations, taxes can be traced back to their origins. Income taxes are the main source of funding for any government. India's tax system has been in place for generations. The government invests the money it receives from taxes in the advancement of the country. In the past, gold, silver, and agricultural products were used as payment for taxes by traders and farmers. The taxation system was formalized by the government at the moment of independence. To promote economic development and eliminate wealth inequality, they offered Indian residents a well-designed taxation system. “The government has changed a number of laws over time to streamline and automate the taxing process. Income taxes are levied and collected in India in compliance with the rules set forth by the "Income-Tax Act, 1961." This Act is not without its history. Constructed based on the "British Model," the All-India Income-Tax Committee authorized and passed the Indian Income-Tax Act, 1922. Despite the fact that "The Indian Income-Tax Act, 1922" was changed to create the current "Income-Tax Act, 1961", the Act still bears the impact of the British Model.In recent years, there has been a notable increase in the number of assessments. Most assessors are unable to adhere to the tax procedure required by the Act. This is what led to the development of tax consultation services. Tax consultants provide their clients with services including tax guidance and consultation, assessor tax computation, and filing returns on their behalf.” According to Act amendments, assessors needed their tax advisors to provide further services such bookkeeping, auditing, cost accounting, management accounting, etc. There is an abundance of literature that discusses the income tax act, government policy on income tax, different amendments to the income tax act, tax evasion and avoidance, etc. Nevertheless, neither the relationship between income tax consultants and assessors (customers) nor the services they provide to assesses have been investigated.