Enhanced Transparency in Faceless Income Tax Proceedings

Enhanced Transparency in Faceless Income Tax Proceedings

The Income Tax Department has rolled out a significant update to its e-filing portal, which is designed to increase transparency and accountability in the faceless assessment and appeal proceedings.

Key Feature of the New Update

• View Officer Activity: The portal now displays the specific date and time when the tax authorities—either the Assessing Officer (AO) or the Commissioner of Income Tax (Appeals) [CIT(A)]—have viewed or reviewed a document submitted by the taxpayer.
  • Example Indicator: “Response viewed by AO on: [Date]”
• Purpose: This new feature creates a verifiable digital audit trail of officer activity on the submission. It gives taxpayers concrete assurance that their documents have been accessed and considered by the tax official.

Benefits to Taxpayers

• Removes Uncertainty: It eliminates the common grievance where taxpayers received reminder notices or adverse orders despite having filed submissions, as they can now confirm timely consideration of their replies.
• Enhances Accountability: The timestamp data enables the Income Tax Department to track officer responsiveness, identifies delays, and helps evaluate performance. This promotes a more accountable and transparent faceless tax administration system.
• Improves Trust: The measure is considered an impactful reform aimed at building greater trust between taxpayers and the department by providing a crucial level of visibility into the handling of their tax matters.