Got a msg from I-T dept? Big clarification issued - what taxpayers need to know

The Income taxation department (ITD) connected Thursday said the caller communications sent to immoderate taxpayers regarding their transactions are advisory successful quality and aimed astatine facilitating voluntary compliance, not initiating enforcement action.In a station connected X, the section said the messages were issued lone successful cases wherever determination is an evident important spread betwixt disclosures made successful income taxation returns (ITRs) and accusation received by the taxation section from reporting entities during the year.“These communications are to facilitate taxpayers and marque them alert of the accusation disposable with the ITD regarding transactions reported by the reporting entities,” the section said, adding that the outreach is constricted to circumstantial cases wherever discrepancies look prima facie.The ITD said the nonsubjective is to supply taxpayers an accidental for voluntary correction by reviewing their Annual Information Statement (AIS) and submitting feedback done the Compliance Portal. Where required, taxpayers tin revise returns already filed oregon record a belated instrumentality if they person not done so.The section reminded taxpayers that the past day for revising oregon filing a belated instrumentality for appraisal twelvemonth 2025–26 is December 31, 2025.

“Taxpayers are requested to respond promptly via the Compliance Portal if discrepancies beryllium oregon disregard if your filing is correct,” the IT section said.Tax refunds had been delayed successful immoderate cases arsenic the Income Tax Department scrutinised refund claims flagged arsenic high-value oregon red-flagged, CBDT Chairman Ravi Agrawal had said connected November 17. He said the reappraisal followed instances of wrongful deductions and incorrect claims, portion low-value refunds continued to beryllium issued. Earlier successful the past month, the Income Tax Department had planned a targeted “nudge” run to amended compliance successful reporting overseas assets and income successful income taxation returns filed for Assessment Year 2025–26, based connected accusation received from overseas jurisdictions nether the Automatic Exchange of Information (AEOI) framework.In the archetypal phase, the Central Board of Direct Taxes (CBDT) had identified astir 25,000 “high-risk” cases wherever overseas assets appeared to beryllium but had not been disclosed successful ITRs.

These taxpayers were to beryllium contacted done SMS and email advisories, asking them to reappraisal their Annual Information Statement (AIS) and revise their returns by December 31, 2025, to debar penal consequences. The run was expected to beryllium expanded from mid-December to screen much cases, according to PTI.The compliance propulsion coincided with scrutiny of high-value and red-flagged refund claims, which had delayed immoderate refunds. CBDT Chairman Ravi Agrawal had said morganatic refunds were expected to beryllium released by December, adjacent arsenic investigation of wrongful claims continued.Accurate disclosure of overseas assets and income is mandatory nether the Income-tax Act, 1961, and the Black Money Act, 2015, which prescribes strict penalties for non-compliance.