CBDT identifies 20.4 million non-filers, asks I-T dept to take action

The tax department has initiated action based on the NMS database, which has identified such non-filers and dropped filers

The Central Board of Direct Taxes (CBDT) has directed the Income-Tax Department to initiate penalty proceedings by June 30 against non-filers and ‘drop filers’ of tax returns.

According to the non-filer monitoring system (NMS) of the I-T department, data for 20.4 million non-filers has been obtained between 2013 and 2017, of which 2.5 million are those who are inconsistent — popularly known as ‘dropped filers’.

“We are issuing notices in all the non-filer/dropped filer cases across the country, and proceedings shall be initiated accordingly in the relevant cases," said an assessing officer.

Typically, the penalty for non-filing is pursued under