I-T algorithm chooses 58,319 cases for scrutiny
NEW DELHI: The income-tax (I-T) department, which launched faceless tax assessment on October 7 last year, has randomly selected 58,319 cases for scrutiny in the first phase and already resolved 7,116 cases, two finance ministry officials said.
The objective of the faceless assessment is to completely eliminate physical contact between the taxpayer and the taxman to make tax administration objective, transparent and corruptionfree, the officials said, requesting anonymity.
“The faceless assessment system has been a game changer in the arena of direct taxation. It has empowered the taxpayers and has, as a foremost mechanism, altered the facets and perception of overall tax administration in India,” one of the officials said.
The official said this is the future of direct tax administration in India with automated and random allocation of income tax assessment cases without human interface at any stage.
The second official mentioned above said, 7,116 assessment cases had already been disposed of and assessment orders issued without any additions in the first phase. In 291 cases, additions are proposed and the cases have been sent to the risk management unit of the tax department. “In all the above cases, the grievances of overpitched assessment or harassment by the taxpayers/tax professional have been almost eliminated. The taxpayers have been advised to check their registered e-filing accounts or emails for notices or updates. Now, all the communications with taxpayers is made electronically by a central cell in Delhi and identity of all the assessing officers remains unknown to the taxpayers at all times,” he added.
The faceless system was first proposed by Prime Minister Narendra Modi in 2017. Finance minister Nirmala Sitharaman announced it in her first budget speech July 5, 2019, and subsequently launched the system on October 7, 2019. The random selection of tax cases is done through artificial intelligence and machine learning, with reduced discretion and no human interface from the I-T department, the officials said.