It has been over a month since the new Income Tax Portal was launched. And we’ve seen so many glitches so far. On June 22, Finance Minister Mr. Raman, together with the Central Board of Direct Taxes, held a meeting with Infosys, who made the new income tax portal possible, and gave them a list of what’s working and what’s not.
A few things have now started working. What are those things and what glitches are we still dealing with as taxpayers? We’re going to discuss this in today’s blog. So without further ado, let’s begin.
So the first thing we are going to discuss today, which is one of the major issues that many taxpayers have been dealing with, is the profile mismatch error.
Start by going to the portal and logging in. You might see a new message saying that your profile in the bank does not match.
If earlier, it was showing the error that your profile does not match with your PAN details, and now, the message has been updated to the message that the details of your profile and your PAN do not match, you don’t need to worry. The income tax department has announced that there might be changes and you don’t need to worry about what you need to ensure. Let’s discuss some of these.
You may ignore minor variations in your address, but if you wish to update it, you need to click on “View”. It will give you options to update in the PAN database and in the Aadhar database. You can choose to update in whichever is reflecting the incorrect address. But as long as your total address matches with your current address where you want your communications to be, you don’t need to make any changes. However, if you have moved and your new residential address has not yet been updated in your PAN, you should take this opportunity and update your PAN database to reflect your current address where communications can be sent to you.
So if you were worried about the differences between your profile and your PAN, rest assured that you don’t need to make any changes if the differences are because of minor changes, like if in your PAN, your district or ZIP code is mentioned, but in your profile, it’s not.
The second problem that many taxpayers were facing was on the dashboard itself– the dashboard or sections of it would appear unpopulated. So like if you went to see recent file forms, you would expect to see all income tax forms you previously submitted, that you could see at the old income tax portal. But what if you couldn’t see all of them?
The third change that was not really reflecting on the income tax portal was when you wanted to download the income tax return acknowledgement. If you clicked on the download form, the attachment wouldn’t open or it would be a blank PDF or the incorrect attachment.
Now, this has been resolved. If you click on download now, you’ll be able to download the correct forms. Now, if you want to download your income tax acknowledgement or income tax form for any previous years, you’ll be able to do it.
Let’s talk about filing income tax returns. Recently, the department tweeted that nearly 40,000 people have filed their ITRs in a day, but this number is apparently very low because in the entire country, more than five pro returns get filed every year. So, 40,000 is not enough to meet the target.
And for the second part of this blog, let’s also discuss the things that are still not working. The prefilled forms also are not getting updated. The income tax website has not really provided an electronic form or electronics utility for forms other than ITR-1. So there’s still a lot to be done by Infosys. We will have to wait until the Infosys team updates the income tax portal so that we can actually use it to make our compliances faster.
Now that was a glimpse of what was in working condition on the new income tax portal. Now let’s talk about what is still not working even after one month of the meeting between the finance ministry and Infosys. There’s a long list of things that are still to be accomplished. The portal is not accepting returns yet if you are filing the tax return using a third party software, so many chartered accountants and tax professionals are using third party software to make the data go really easily and smoothly and for better retention of data.
And the portal is still not accepting any forms using third party software. So, if you want to file your return using clear tags by yourself, or with the help of your tax professional or a chartered accountant, they would not be able to file it because the tax portal is not yet accepting income tax returns when they file it using third party software. But you can still go ahead and file your income tax return yourself.
Although the new income tax portal is accepting income tax returns, people are unable to download the prefilled forms. So you can’t file your ITR using a prefilled form- there’ll be validation errors when you try to file your ITR. So should you file your ITR in the month of July? As a chartered accountant, I would suggest you wait for some time. You could see how the portal is responding and then file it in August.