Income tax returns (ITR) alert! CBDT sends warning, issues deadline to this segment
Income tax returns (ITR): Individuals who have carried out high value transactions but have not filed their income tax returns for the assessment year 2018-19 would get 21 days time to submit their responses, the CBDT said Tuesday. The 21-day time period would be from the date of receiving e-mail or SMS from the I-T Department regarding non-filing of tax returns.
In cases where no return is filed or no response is received for Assessment Year (AY) 2018-19 within the stipulated time, the department would consider initiating proceedings under the Income Tax Act 1961. The Central Board of Direct Taxes (CBDT) said data analysis has identified "several potential non-filers" who have carried out high value transactions in 2017-18 but have still not filed returns for AY 2018-19.
CBDT, however, did not disclose the number of such non-filers. "Non-filers are requested to assess their tax liability for AY 2018-19 and file the ITR or submit online response within 21 days. If the explanation offered is found satisfactory, matters will be closed online."
"However, in cases where no return is filed or no response is received, initiation of proceedings under I-T Act 1961 will be considered," the CBDT said. The department carried out an analysis to identify non-filers about whom specific information was available in its database. The sources of information include Statement of Financial Transactions (SFT), Tax Deduction at Source (TDS), Tax Collection at Source (TCS), information about foreign remittances, exports and imports data etc.
The Non-filers Monitoring System (NMS) aims to identify and monitor persons who enter into high value transactions and have potential tax liabilities but have still not filed tax returns.The department has enabled e-verification of these NMS cases to reduce the compliance cost for taxpayers by soliciting their responses online.
"It is reiterated that there is no need to visit any Income Tax office for submitting response, as the entire process is to be completed online," the CBDT said. Taxpayers can access information related to their case from the ?compliance portal' accessible through the e-filing portal -- https://incometaxindiaefiling.Gov.In.