The Income Tax Department will be beginning with an e-campaign from Monday for taxpayers who are “either non-filers or have discrepancies/deficiency in their returns for the FY 2018-19,” Ministry of Finance said in a statement on Saturday. The 11-day campaign, which would end on July 31, 2020, will help taxpayers to validate their tax or financial transaction information online with the tax department particularly in order to “promote voluntary compliance, so that they do not get into notice and scrutiny process etc.”
Identified taxpayers will get an email or text message for verifying their financial transactions-related information with the IT department sourced from Statement of Financial Transactions (SFT), Tax Deduction at Source (TDS), Tax Collection at Source (TCS), Foreign Remittances (Form 15CC) etc. Information is also received with respect to GST, transactions in securities, derivatives, commodities, exports, imports, mutual funds, etc.
The tax department based on the data analysed identified certain taxpayers with high-value transactions who didn’t file returns for AY 2019-20 (FY 2018-19). Apart from these non-filers, the department has also identified filers whose high value transactions “do not appear to be in line with their Income Tax Return,” the ministry said.
Taxpayers will be able to get the details of these high value transactions related information on the designated portal under the online campaign. They will also be able to provide online response by selecting through the given options including information is correct, information is not fully correct, information related to other person/year, information is duplicate/included in other displayed information, and information is denied. Taxpayers won’t have to visit the IT office. The last date of filing along with revising the IT return for the assessment year 2019-20 (relevant to FY 2018-19) is July 31, 2020.
Source : Times of India