I-T department denies plans to use DigiYatra data to crack down on tax evaders

The Income Tax department issued a clarification today, December 30 denying the media reports suggesting that data from the DigiYatra app would be used to track tax evaders.

In a social media post on X, the I-T department wrote, "It is seen that news articles have appeared stating that Digiyatra data will be used to crack down on tax evaders. In this connection it is clarified that as on date there is no such move by the @IncomeTaxIndia department."

It is seen that news articles have appeared stating that Digiyatra data will be used to crack down on tax evaders.
In this connection it is clarified that as on date there is no such move by the @IncomeTaxIndia department.@nsitharamanoffc@officeofPCM@FinMinIndia@PIB_India

— Income Tax India (@IncomeTaxIndia) December 30, 2024

In a media report, it was stated citing sources, "the tax department has accessed the entire passenger data captured on the DigiYatra app, and the same is being reconciled with tax filings to check for discrepancies in declared income. The tax department would start issuing notices in 2025 based on the DigiYatra data."

According to the article, the tax agency would target those who do not submit tax returns first, followed by those who underreport their income. It implied that data from domestic and foreign travellers was being scrutinised, with frequent or high-value travel, particularly international excursions, potentially indicating persons whose claimed wages could not justify such expenditures.

Commenting on this, DigiYatra CEO Suresh Khadakabhavi posted on X and said, "No central storage of biometric or personal data exists. Data stays on users’ phones, and facial authentication is decentralized. 9M+ users & 42M+ secure journeys. Privacy remains non-negotiable."

Digi Yatra CEO, Mr Suresh Khadakabhavi, responds to The New Indian Express's claims: no central storage of biometric, or personal data stays on users’ phones, and facial authentication is decentralized. 9M+ users & 42M+ secure journeys. Privacy remains non-negotiable. #DigiYatra pic.twitter.com/M4byGTHEgp

— Digi Yatra Official (@DigiYatraOffice) December 30, 2024

Based on Facial Recognition Technology (FRT), Digi Yatra provides for contactless, seamless movement of passengers at various check points at airports.

The data shared by a passenger for Digi Yatra is stored in an encrypted format. For availing the service, a passenger has to register his or her details on the Digi Yatra app using Aadhaar-based validation and a self-image capture. In the next step, the boarding pass has to be scanned and the credentials are shared with the airport.

Digi Yatra is managed by the Digi Yatra Foundation. Its shareholders are Airport Authority of India (AAI), Cochin International Airport Ltd (CIAL), Bangalore International Airport Ltd (BIAL), Delhi International Airport Ltd (DIAL), Hyderabad International Airport Ltd (HIAL) and Mumbai International Airport Ltd (MIAL).

With inputs from agencies