InvestorQ : I understand that the Income Tax department has now shifted to faceless assessments. What exactly does that mean to a tax payer?
Aashna Tripathi made post

I understand that the Income Tax department has now shifted to faceless assessments. What exactly does that mean to a tax payer?

Answer
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Moii Chavate answered.
11 months ago


The idea of faceless announcements was first announced in the current Union Budget and it involves conducting the entire process of assessments through an automated technology driven fashion so that the scope for any individual influence is totally avoided. In the past there have been complaints by tax assessees that specific officers had been persistently harassing them and to bring objectivity to the entire process, this faceless assessment system has been introduced by the Income Tax department.

Under the system of faceless assessment any queries to the tax payer will be automated and issued only by the National E-Assessment centre. Then the concerned tax payer will be invited to a video conference with committee members who will ask any relevant questions on their tax filing and the resolution for further action will be made without any manual visit to the IT office. Of course, in larger cases, the department may still insist on personal hearing.

For the current year, under the first batch, the IT department has sent out 58,322 such notices to assessees which includes over 3500 corporates, where the IT department has reasons to believe that the IT return filed were not in sync with its own understanding and assessment of the tax liability. This includes cases ranging from ITR1 to ITR7. Central Board of Direct Taxes (CBDT) chairman P C Mody said all cases selected for scrutiny belongs to the current assessment year and would have to be closed by September next.