Govt. unveils faceless I-T assessment, opens National e-Assessment CentreApprox Read Time: 2 minutes
- Department of Revenue, Ministry of Finance has launched the faceless assessment system in the Income Tax department and has inaugurated the National e-Assessment Centre.
- The nodal National e-Assessment Centre (NeAC) will be located in Delhi and headed by the Principal Chief Commissioner of Income Tax.
- Need for NeAC:
- The e-assessment process is aimed at minimizing the level of interaction between taxpayers and the Income-Tax Department, which leads to certain undesirable practices on the part of tax officials.
- Automated processes:
- Cases for the specified work shall be assigned by the NeAC to different units by way of automated allocation systems.
- The Central Board of Direct Taxes (CBDT) had also recently launched a system wherein all notices and communication sent by the I-T department would come with a computer-generated documentation identification number (DIN).
- Notices without this DIN will be considered non est or non-existent under the law.
- How the e-assessment system works?
- Under the new system, tax assesses will receive notices on their registered emails as well as on registered accounts on the income tax web portal.
- All such communication will have a document identification number (DIN), using which one can search it on the income tax e-filing portal.
- To reply to any income tax notice, the assessee is not supposed to visit any income tax office or send letters by post.
- All taxpayers have to reply to any notice or letter from the tax department electronically through their account on the income tax department’s e-filing portal.
- After the reply is received, the NeAC will allocate the case to an assessing officer using an automated system.
- And there would be no physical interface between the tax payers and the tax officers.
Benefits of NeAC:
- Online submissions will save time and effort involved in visiting tax offices for face-to-face proceedings.
- Faceless assessments will make the process objective and hassle-free and would lead to better quality of assessments.
- It would help in bringing about transparency, efficiency, accountability and standardization of procedures by eliminating human interface between the taxpayer and the Income Tax department.