New Delhi, July 20 (ANI
): In the last decade, the Income Tax Department embarked on an ambitious computerization plan, which developed voluminous databases of IT returns, IT
forms, TDS/TCS statements, Annual Information Return (AIR) etc.
The large volumes of data necessitated development of a comprehensive platform for effective utilization of information. The Department initiated Project Insight to strengthen the non-intrusive information driven approach for improving tax compliance and effective utilization of information in tax administration.
The Income Tax Department signed a contract with L&T Infotech Ltd. for implementation of Project Insight.
The Project will be rolled out in three phases and the first phase is expected to go live in May 2017.
This integrated platform would play a key role in widening of tax-base and data mining to track tax evaders. The new technical infrastructure will also be leveraged for implementation of Foreign Account Tax Compliance Act Inter Governmental Agreement (FATCA IGA) and Common Reporting Standard (CRS).
Implementation of reporting compliance management system will ensure that the third party reporting by reporting entities is timely and accurate.
A streamlined data exchange mechanism will also be set up with other Government Departments and exchange partners.
A new Compliance Management Centralized Processing Centre (CMCPC) will also be setup as part of the Project for handling preliminary verification, campaign management, generation of bulk letters/notices and follow-up.
The new CPC
will not only promote voluntary compliance but also enable taxpayers to resolve simple compliance related issues in an online manner without visiting the Income tax office.
The project ensures the continuation of the Department's goal towards business transformation through technology. (ANI