Honouring the tax payers, the Prime Minister Narendra Modi, today launched the programme 'Transparent taxation- Honouring the Honest' through a video conferencing today. The PM launched Faceless Assessment and Taxpayers Charter from today. Whereas, Faceless Appeal service will come into force on September 25, 2020.
What does Faceless Assessment Scheme mean??
Presently, the assessment and appeals under Income Tax Act are majorly carried out in physical mode with human interface. The presence of human interface might result in undue pressure or harassment of the assessee and also a fair possibility of corruption. Though in the recent years, the Income Tax Department has moved quite ahead in digitilization of return processing, refunds, assessment but still the possibility of human interface could not be entirely ignored.
The Faceless Assessment Scheme aims to eliminate the human interface altogether between the taxpayer and the Income Tax Department. Some of the features of the scheme are:-
- Selection of eligible cases for assessment only through system using data analytics and Artifical Intelligence
- Abolition of territorial jurisdiction which means a taxpayer may belong to one city but the ITR may be assessed in some other city through random selection by computer.
- Automated random allocation of cases
- Central issuance of notices with Document Identification Number (DIN)
- No physical interface and no need to visit the Income Tax Office
- Team-based assessments and team based review
- Draft assessment order in one city, review in another city and finalization in third city
- Objective, just and fair order
- 2/3rd manpower to be utilized for faceless process and remaining for other functions
Exceptions to Faceless Assessment
The exceptions to Faceless Assessment includes the following:-
- Serious frauds, major tax evasion and search matters
- International Taxation
- Black Money Act and Benami Property
Ensuring that the Department’s efforts result in the empowerment of our taxpayers! IT Department has taken up several reforms to make tax compliance easier for our taxpayers. Our way to reward your honesty! (1/7)#HonoringTheHonest pic.twitter.com/Rvmv0sgdcN
— Ministry of Finance (@FinMinIndia) August 13, 2020
Ensuring that the Department’s efforts result in the empowerment of our taxpayers! IT Department has taken up several reforms to make tax compliance easier for our taxpayers. Our way to reward your honesty! (1/7)#HonoringTheHonest pic.twitter.com/Rvmv0sgdcN
— Ministry of Finance (@FinMinIndia) August 13, 2020
Any assessment, other than exception, outside Faceless Scheme will be invalid. No intrusive and survey actions shall be made by field officers. Order under section 119 of the Income Tax Act, 1961 has been made which directs that the officers posted in Directorates of Investigation (Investigation Wing) and Commissionerates of TDS, only and exclusively shall act as "Income Tax Authority" for the purposes of survey under section 133A of the Income Tax Act.
Prime Minister in his video conference has urged tax payers to come forward and pay taxes as part of their responsibility. "Those who are able to pay tax but are not paying taxes, should come forward with self-motivation. This is my request" said PM.
