Many taxpayers have recently received email communications from the Income Tax Department regarding significant or high-value transactions visible in their Annual Information Statement (AIS). These communications are part of the department’s e-Campaign initiative, aimed at increasing compliance and authenticating financial transactions. Taxpayers are requested to respond to the communication and provide feedback or file an updated Income Tax Return (ITR) if necessary. Failure to respond or unsatisfactory response may result in scrutiny or assessment proceedings by the tax department. Access to the AIS/Compliance Portal is essential to check these communications and respond accordingly. The portal provides details about flagged transactions and specific information regarding the communication sent by the tax department.
The e-Campaign initiative is a step towards improving compliance and ensuring accurate reporting of financial transactions. The Income Tax Department gathers and analyzes data from various sources, such as TCS returns, TDS returns, Specified Financial Transactions (SFT) returns, and other relevant channels. This data, along with information from third-party entities, is used to authenticate financial transactions and verify the information provided in the ITR.
Taxpayers have two options when they receive a communication regarding their transactions. They can either provide feedback if the information is incorrect or file an updated ITR if the deadline allows. It is crucial to respond promptly and provide accurate information to avoid further scrutiny or assessment proceedings by the tax department.
Accessing the AIS/Compliance Portal is essential to review the flagged transactions and understand the specific details related to the communication. Taxpayers can log in to the ITR e-filing portal, go to the Pending Action tab, and click on the Compliance Portal to access the e-Campaign tab. This tab provides a list of transactions flagged by the tax department. Clicking on the specific transaction will reveal further information regarding the communication sent.
It is important to note that the AIS Compliance portal may show newer cases, while the Compliance portal shows cases from older assessment years. Taxpayers should review both portals to ensure they are aware of all communications and notices from the tax department.
The e-Campaign initiative is part of the tax department’s efforts to increase compliance, authenticate financial transactions, and ensure accurate reporting of income. Taxpayers are encouraged to respond promptly to communications and provide accurate information to avoid scrutiny or assessment proceedings. Accessing the AIS/Compliance Portal and understanding the flagged transactions is crucial to stay compliant with tax regulations.
To learn more about this initiative and access the AIS/Compliance Portal, please read the full article.
