Income-Tax notices give FPIs the jitters; experts suspect tech glitches

Experts called the development unprecedented and attributed it to a possible glitch in the new I-T portal

The income-tax (I-T) department has slapped hundreds of notices on foreign portfolio investors (FPIs) in the past few days for allegedly filing defective returns, according to the country's top tax consultants. 

The notices, issued under Section 139 (9) of the I-T Act for past assessment years, have asked them to rectify the defects and furnish their balance sheets along with profit and loss accounts, even though they are not required to do so under current regulations. This is because FPIs earn capital gains and dividend income in India but are not involved in running a business or any professional activity, and