The Central Board of Direct Taxes (CBDT) is identifying people through a non-filers monitoring system by using data analytics and has asked them to assess their tax liability for the assessment year 2018-19, file income tax returns or submit an online response within 21 days.
The non-filers monitoring system aims to identify and monitor persons who enter into high-value transactions and have potential tax liabilities but have still not filed their tax returns. An analysis was carried out to identify non-filers about whom specific information was available in the database of the Income Tax Department.
The sources of information include statements of financial transactions, tax deduction at source, tax collection at source, information about foreign remittances, exports and imports data.
A government statement said data analysis has identified several potential non-filers who carried out high-value transactions in the financial year 2017-18 but have still not filed income tax returns for the assessment year 2018-19 (relating to the financial year 2017-18).
The CBDT has enabled e-verification of these non-filers monitoring system cases to reduce the compliance cost for taxpayers by getting their response online. There is no need to visit any Income Tax office for submitting a response as the entire process is to be completed online.
Taxpayers can access information related to their case from the compliance portal which is accessible through the e-filing portal https://incometaxindiaefiling.gov.in. The PAN holder should submit the response electronically and keep a printout of the submitted response for record purposes. User guide and FAQs are provided under the Resources menu.
Non-filers are requested to assess their tax liability for AY 2018-19 and file the income tax returns or submit an online response within 21 days. If the explanation offered is found to be satisfactory, matters will be closed online.
However, in cases where no return is filed or no response is received, initiation of proceedings under the Income-tax Act, 1961 will be considered, said the statement issued yesterday.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)