The Income Tax Department on Tuesday sent out a tweet clarifying that it has sent “communication” and “not a notice” to certain taxpayers pertaining to transactions made by them. And added that such an advisory is sent in cases of apparent mismatch between disclosures in the Income Tax Return (ITR) and information as received from the reporting entity.
This comes after certain social media posts highlighted communication from the Income Tax department regarding mismatch in TDS/TCS deductions and ITR filing data. The income tax department stated that such communication is only to facilitate the taxpayers and create awareness around the information available with the I-T department regarding the transactions reported by the Reporting Entities during the year.
In a post on X (formerly known as Twitter), it said, “Some references have come to the notice of the Income Tax Department regarding recent communication sent to taxpayers pertaining to transaction(s) made by them. Taxpayers may pl note that such communication is to facilitate the taxpayers & make them aware of the information available with the ITD regarding the transactions reported by the Reporting Entities during the year.”
Some references have come to the notice of the Income Tax Department regarding recent communication sent to taxpayers pertaining to transaction(s) made by them.
Taxpayers may pl note that such communication is to facilitate the taxpayers & make them aware of the information…
— Income Tax India (@IncomeTaxIndia) December 26, 2023
And added, “It is not a notice sent to all taxpayers, but is an advisory sent in only those cases where there is an apparent mismatch between disclosures in the ITR & information as received from the Reporting Entity.”
The advisory added that the “The objective of the communication is to provide an opportunity to taxpayers and facilitate them to provide their feedback online on the Compliance Portal of ITD and, if necessary, revise their Returns already filed OR to file the Return if not filed, so far.”
The last date for revising or filing a belated return for AY 2023-24 (relating to income earned in 2022-23) is December 31, 2023.
Also Read – ITR Filing Last Date is December 31 – Check how to file ITR
“Taxpayers are requested to respond to the communication on priority,” the I-T department added.
Under the I-T Act, reporting entities are required to file statements of financial transactions (SFT)with the tax department containing details of certain financial transactions or any reportable account maintained by them during the year.
Reporting entities include forex dealers, banks, sub-registrar, NBFC, post offices, issuer of bonds/debentures, mutual fund trustees, company paying dividend or buying back shares.
(With Agency Inputs)
