The Income Tax Department will initiate an e-campaign from Monday, July 20, on voluntary compliance by filing of tax returns for the benefit of taxpayers.
As per the Central Board of Direct Taxes (CBDT), its data analysis has revealed that some taxpayers with high value transactions have not filed returns for AY2019-20 (relating to FY2018-19).
Another group of income tax filers have also been identified where the high-value transactions do not appear to be commensurate with their Income Tax Returns.
The CBDT said the last date for filing and revising the Income Tax Return for Assessment Year 2019-20 (relating to FY 2018-19) is July 31, 2020.
The I-T Department wants to promote transparency among the taxpayers and give them a chance to correct any unintended error in their tax filing. The 11-day campaign will end on July 31, 2020, which is the last date for filing the income tax return for FY19.
The CBDT in a statement said the aim of the e-campaign is to enable taxpayers to validate online their tax/financial transaction information available with the I-T department and promote voluntary compliance, especially for the assessees for the FY2018-19 so that they can avoid getting notice and the scrutiny process.
"Under this e-campaign, the Income Tax Department will send email/SMS to identified taxpayers to verify their financial transactions related information received by the I-T department from various sources such as Statement of Financial Transactions (SFT), Tax Deduction at Source (TDS), Tax Collection at Source TCS), Foreign Remittances (Form 15CC) etc,” it said.
The taxpayers concerned can respond online to the query of the tax department on the portal.
Taxpayer will be able to submit online response by selecting any one of these options: (i) Information is correct, (ii) Information is not fully correct, (iii) Information related to other people/year, (iv) Information is duplicate/included in other displayed information, and (v) Information is denied.
Further, the taxpayer would not be required to visit any I-T office, as the response has to be submitted online, a CBDT notification said.
Post submission of response, the taxpayer can file or rectify the tax return. An I-T official said the department has already disposed of 7,116 cases so far through the faceless assessment system under the first phase.