CBDT to opt better way of selection of scrutiny cases

 

One more step Income Tax Department has taken to be more tech savvy. After the decision of sending notices to assessee through emails, now, the department has decided to select the tax cases for scrutiny through system-based centralised approach. CBDT to opt better way of selection of scrutiny cases.

Finance Minister Arun Jaitley informed that the process of selecting tax cases for scrutiny on a random basis is being replaced by a system-based centralised approach.

 

It may be clarified that for the past several years, the process of selection of cases for scrutiny on a random basis has been dispensed away with, instead, CBDT has devised a system-based method in a centralised manner through CASS (Computer Assisted Scrutiny Selection) whereby the selection is made on the basis of detailed analysis of risk parameters and 360 degree data profiling of taxpayers.

 

In the process of random selection, it was noted that pre-determined revenue-potential became the basis for the scrutiny selection. To improve the parameter of selection of cases, such centralised approach was needed to be adopted.

 

To educate the assessee regarding the new process, the guidelines of selection under this category are also placed in the public domain. This shall provide wider information to taxpayers and shall become quite transparent, scientific and fine-tuned with minimum manual intervention. With this process, factors leading to complaints of harassment of taxpayers will largely be eliminated.

 

To initiate with this process, Government has decided to roll out such plan on trial run. During this run, project would initially be those which have been selected for scrutiny on the basis of AIR (annual information return)/CIB (central information branch) information or are non-matching with 26 AS data.

 

With such initiative, unnecessary harassment of taxpayers shall be significantly reduced. Under the new set-up, the I-T Department can issue e-mail notices which an assessee can respond electronically, obviating the need for physical interface with the taxman, which often led to complaints of harassment.

Visit taxmantra.com for assistance in scrutiny cases.

____________________________________________________________________