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Faceless e-Assessment for income taxpayers launched New Initiative shall impart greater efficiency, transparency and accountability in the assessment process.

Under e-Assessment scheme 2019:-

(i) There would be state of the art Digital Technology for Risk Management by way of automated examination tool, Artificial Intelligence and Machine Learning, with a view to review the scope of discretion of the officers of the Income Tax Department.

(ii) The e-Assessment Scheme introduces the concept of team-based assessment with dynamic jurisdiction which would bring about transparency, efficiency, and standardisation of procedures by eliminating the human interface between the taxpayer and the Income-tax Department.

(iii) There would be a NeAC in Delhi to be headed by Principal Chief Commissioner of Income-tax,

(iv) 8 Regional e-Assessment Centres (ReAC) at Delhi, Mumbai, Chennai, Kolkata Ahmedabad, Pune, Bengaluru and Hyderabad which would comprise Assessment unit, Review unit, Technical unit and Verification units.

(v) Cases for the specified work shall be assigned by the NeAC to different units by way of automated allocation systems.

In view of the dynamic and all India jurisdiction of all officers of NeAC and ReAC, this kind of connective and collaborative effort of officers is likely to lead to a better quality of assessments.

In the first phase, the Income Tax Department has selected 58,322 cases for scrutiny under the e-Assessment Scheme 2019 and the e-notices have been served before 30th of September 2019 for the cases of Assessment Year 2018-19.

The taxpayers have been advised to check their registered e-filing accounts/ email ids and have been requested to furnish a reply within 15 days. The Department hopes that with the ease of compliance for taxpayers, the cases would be disposed of expeditiously.

This new initiative of faceless assessment is expected to increase ease of compliance for taxpayers as the cost and anxiety of taxpayers are likely to be greatly reduced. No human interface with the Department would be a game-changer. Transparency and efficiency would lead to reduced litigation. Functional Specialisation would lead to certainty in tax matters which would lead to increased ease of doing business. Adoption of risk-based and focussed approach in team-based assessment is expected to standardise procedures by eliminating human interface. The grievances of over pitched assessment by the taxpayers is likely to be greatly reduced and better assessment of income is expected to lead to greater revenue mobilization, thus greater resources for undertaking welfare work for people of India. It is also likely to lead to quicker disposal of cases underlining the fact that “It is a government that works faster!”

About National e-Assessment Centre (NeAC) :

NeAC will be an independent office that will look after the work of e-Assessment scheme which is recently notified for faceless e-assessment for income tax payers. There would be a NeAC in Delhi to be headed by Principal Chief Commissioner of Income Tax (Pr.CCIT). There are 8 Regional e-Assessment Centres (ReAC) set up at Delhi, Mumbai, Chennai, Kolkata Ahmedabad, Pune, Bengaluru and Hyderabad which would comprise Assessment unit, Review unit, Technical unit and Verification units. Each ReAC will be headed by Chief Commissioner of Income Tax (CCIT). Cases for the specified work shall be assigned by the NeAC to different units by way of automated allocation systems. In view of the dynamic and all India jurisdiction of all officers of NeAC and ReAC, this kind of connective and collaborative effort of officers is likely to lead to a better quality of assessments.

About Faceless e-Assessment:

Centre Government had recently notified the e-Assessment scheme to facilitate the faceless assessment of income tax returns through completely electronic communication between tax officials and tax payers.

Under the new system of faceless e-Assessment, tax payers will receive notices on their registered emails as well as on registered accounts on the web portal www.incometaxindiaefiling.gov.in with real-time alert by way of SMS on their registered mobile number, specifying the issues for which their cases have been selected for scrutiny. The replies to the notices can be prepared at ease by the tax payers at their own residence or office and be sent by email to the National e-Assessment Centre by uploading the same on the designated web portal.

This new initiative of faceless assessment is expected to increase ease of compliance for taxpayers as the cost and anxiety of taxpayers are likely to be greatly reduced. No human interface with the Department would be a game-changer. This is another initiative by CBDT in the field of ease of compliance for our tax payers.


[Press Release dt. 07-10-2019]