As you know you can file your belated Income Tax Returns by 31st March of the relevant Assessment Year. If a taxpayer has not filed his/her returns for the Financial Year 2015-16, according to the Income Tax Department, the taxpayer should file returns on time. The Department is sending intimations to the taxpayers who didn’t pay taxes. Here is what IT Department is asking you to submit online for compliance: –
The Department has various sources, through which it identifies non-filers with potential tax liabilities. The Income Tax department analyses information received from different sources like, The Annual Information Return (AIR), Statements of financial transactions (SFT), The Centralised Information Branch (CIB), Tax deducted and collected at source (TDS and TCS) statements, Securities Transaction Tax (STT), and taxpayer’s profile.
On the basis of the information that the Department collects from the above-mentioned sources, it analyses them and sends e-mails as well as text messages to the taxpayers for the further clarification of the information received.
The Income Tax Department, gives information about the basis and the reason behind the query for a better insight, so that the taxpayer can rectify the issue.
How can I respond to Compliance Notice?
If you receive any notice related to compliance, you will have to log in to the compliance portal and use your e-filing account. Under the head My Account click Compliance Portal and that will take to Compliance Section.
In this section you will find a list of compliance details that needs verification. Click on the ‘View’ option on the left and you will see the list of issues that requires verification. You need to submit responses accordingly.
You will be asked to choose from options, that is whether ITR is filed or It is yet to be filed? If you click on the ‘ITR has been filed’ response, the IT department will close the case after verifying whether the taxpayer has indeed filed the return or not.
If any issue arises, the taxpayer will receive a notification to provide the correct acknowledgement number. If a taxpayer chooses the option ‘ITR has not been filed,’ then he/she will have to provide a valid reason for not filing the return.
You must make sure that you respond to the notices within 15 days of receiving them or by the due date mentioned.