Wednesday 4 October 2017

CBDT launches e-assessment pilot in 7 cities for time-barring cases; Gives taxpayers 'opt-out' choice

IT department issues order covering various aspects of conducting scrutiny assessments electronically in cases which are getting barred by limitation during the financial year 2017-2018; The e-assessments will be conducted using the Income-Tax Business Application (ITBA) which is an integrated platform to conduct various tax-proceedings electronically through the 'e-Proceeding' facility and is a part of Income-tax Department’s digital transformation of its business processes; Assessment proceedings in the two categories of time-barring scrutiny cases, pending as on October 1, 2017, where hearings have not been completed, would be carried out through the 'e-Proceeding' facility on  the ITBA; The first category covers time-barring scrutiny cases in seven metro cities namely Ahmedabad, Bengaluru, Chennai, Kolkata, Hyderabad, Delhi and Mumbai where assessment proceedings are already underway through the 'e-mail based communication' and where assessee is having 'e-Filing' account; In time-barring scrutiny assessments under 'e-Proceeding', the assessees can voluntarily opt out from 'e-Proceeding' at a subsequent stage under intimation to the AO; The CBDT order states that online submissions may be filed till the office hours on the date stipulated for compliance; In e-assessment cases, manual intervention is permissible in the specified situations viz., i) where manual books of accounts or original documents have to be examined; ii) where AO invokes provisions of Sec 131 of the Act or a notice is issued for carrying out third party enquiries/investigations; iii) where examination of witness is required to be made by the concerned assessee or the Department; iv) where a show-cause notice contemplating any adverse view is issued by the Assessing Officer and assessee requests for personal hearing to explain the matter 

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