Income Tax Department Set to Adopt 'Non-Threatening' Language For Taxpayers, Begins Work to Make TDS Communications Faster
Income Tax department building in New Delhi and IT filing. (Photo Credit: File)

New Delhi/Ahmedabad, August 18: The Income Tax is mulling adopt 'non-threatening' language that asks whether an expense has been accounted for or not, rather than the more intimidating officialese that quotes I-T sections under which a notice has been issued. This latest move aims at changing the mindset, after Finance Minister Nirmala Sitharaman and revenue secretary Ajay Bhushan Pandey met senior income tax and indirect tax officers in Ahmedabad.

According to a report, published in Times of India, Nirmala Sitharaman sat in a meeting with the IT officials on Friday, where she stressed on the need for a mindset change and spoke on pushing for faceless assessment by relying on technology. The strategy has opted after repeated concerns that IT officials often deal with issues in an intrusive and arbitrary manner. Income-Tax Department Issues 17-Point Checklist to Trace Unaccounted Demonetisation Cash

Following the directives and suggestions, IT authorities are working on ways to ensure that the department makes information - large cash deposits or high-value transactions - available to taxpayers well in time for filing of tax returns. For this, tools like text messages to taxpayers are likely to be used, just like messages related to tax deducted at sources (TDS) deposits are done.

Explaining the reason for new system-driven data mining approach, a senior official said, as the daily quotes, "We can tell people if TDS is due and if it has been deposited or not so that they can also take it up with the depositor." Also, changes in the current processes and technology are being thought for faster information, including foreign exchange remittances or cash deposits/withdrawals.

Apart from this, the IT department is also reviewing the language of communication regarding the filing of tax returns and verification is proposed to be reviewed so that the department does not intimidate taxpayers. Authorities are working on communications to see if they can be simpler and do not create any confusion or apprehensions.