Finance Minister Nirmala Sitharaman today said that any communication from the Income Tax Department without a computer-generated DIN, be it a notice, letter, order, summon, or any other correspondence will be invalid and would not stand in the eyes of law. In the event of the launch of the platform ”Transparent Taxation – Honoring the Honest” by Prime Minister Narendra Modi, FM Sitharaman added that the faceless tax scrutiny assessment and appeal would help ease the compliance burden of taxpayers and increase fairness and objectivity in the tax system. Calling today as a landmark day in the history of tax administration, she further said that the vision of PM Modi is to empower the taxpayers, to provide a transparent system, and to honour the honest taxpayers.
Explaining the intent behind the government’s move, the Finance Minister underlined that the changes will ease the compliance burden, bring in a fair objective and there shall not be any physical interface between the department and the taxpayer, which will bring in the certainty of information. She added that the Income Tax department has undertaken several reforms, including lowering corporate tax rate from 30 per cent to 22 per cent for existing manufacturing units.
Further, the Ministry of Finance said that the CBDT has directed that all the assessment orders shall hereafter be passed by National e-Assessment Centre through the Faceless Assessment Scheme 2019 and any assessment order which is not in conformity shall be treated as non-est. It added that with electronic replies, zero physical interfaces of authorities, and instant solutions, this is the newest, most convenient, and easiest way to tackle IT litigation issues. It further said that the ”Taxpayer Charter” is another step to provide a transparent and taxpayer-friendly tax regime and will enhance trust between taxpayers and the I-T department.