Digitalisation spurs online PAN validation. Seems like no need of brick-mortar branch

Post Demonetisation, there are increased streaks of strict surveillance. Adoption of extreme audit practices have ushered in to track down each and every person, thereby unearthing all assesses and Indian residents who might have indulged in Money laundering.

As the Income Tax Department taps comprehensive data to spot unethical transactions, it is now exhorting taxpayers to validate the deposits they made in their accounts. If you were thinking you would be asked to go to the physical brick-and-mortar bank branch to verify deposit transaction made into accounts post demonetisation.

In a bid to avoid undue harassment, the department  has now pioneered unprecedented online verification of  bank transactions to plummet compliance cost for the taxpayers, thereby optimizing it’s resources.

To guide the taxpayers through the process, the department  has now launched a user guide.

The information on cash deposits is now available for online verification “in the e-filing window of the PAN holder at https://incometaxindiaefiling.Gov.In“, the user guide said.

The cash deposited in an assessee’s account can be verified using the link ‘Cash Transactions 2016’ under ‘compliance’ section of the website. “The details of transactions related to cash deposits during 9th November to 30th December 2016 will be displayed,” it said.

The taxpayer must validate that the bank account relates to his PAN. In case the bank account and PAN do not attain linkage, an appropriate option can be selected. Nonetheless, if the account gets linked to the PAN, but the deposit value is incorrect, a correct entry too may be submitted online.

The informative user guide informs that the taxpayer is required to furnish required details in cases of cash withdrawal from the bank account. Moreover, details regarding the source of cash should also be furnished. Sources like cash sales, loan, gift or donations should be specifically mentioned as remarks.

The department is roping in data analytics to check reliability and creation of a virtual linkage between deposits made after November 8, which marks the day of Demonetisation of higher currency notes of Rs.500 and Rs.1000.

Notable enough is the option which is given to those who have deposited cash out of earlier income or savings. Here is what is suggested: A remark tab will be visible on the screen, which shall be filled with appropriate reasons. If the reasons seem unjustified or out of order, the case might be highlighted and scrutinized by the department. Similarly, if cash is claimed to be out of receipts exempt from tax (agricultural income etc but excluding cases of gift and donation), details may be provided under remarks.

“The Tax Department will select some cases for verification based on risk criteria. “If the case is selected for verification, request for additional information and its response will also be communicated digitally (either by e-mail or SMS),” the guide said.

 

Advertisement

LEAVE A REPLY

Please enter your comment!
Please enter your name here