The real Tax Terrorism: Taxpayers unable to file Trust Registration forms, Appeal, Rectification application u/s 154, etc.


The real Tax Terrorism:

Taxpayers unable to file Trust Registration forms, Appeal, Rectification application u/s 154, etc.



There are enormous issues in the new income tax portal. Taxpayers are helpless as there is no formal commutation either from the Infernos or from the Government as to when this issue would be resolved. The taxpayers are left with no other options but to login every day and spend around 2 to 3 hours just to see if the portal has started working or not?

Most strangely, the Government has not yet released the Schema (Electronic Form) of the various Income Tax Return Forms i.e. ITR-2, ITR-3, ITR-5, ITR-6 & ITR-7 even after the passing of 3.5 months of the year. This is the status after 3 ½ months of the financial year. Who is responsible for this is not known yet.

Even the Income Tax Return for the AY 2021-22 cannot be filed through any software or directly by uploading SON file because this functionality has not been enabled at the Income Tax Portal. All those who are in need of the ITR for bank loan or other purposes are left with no choice but to feel the pain of this irresponsible attitude.

Various Electronic Forms i.e. Form 3CA-3CD u/s 44AB of the Income Tax Act, 1961 are still not available at the Income Tax Portal which is another cause of concern. Even income Tax Returns for the Assessment Year 2020-21 are not being processed as a result of which Income Tax Refunds are pending with the department even after more than 6 months of filing of Income Tax Returns and resulting in  Liquidity Issues during this pandemics.

Validation error in Income Tax Return filing utility is still persisting. Even certain information such as Bank interest and dividend are not getting pre-filled. Those who have filed the return online at the portal for A.Y. 2021-22 finding it difficult to e-verify the same with DSC.

Applications filed for low deduction Ws 195(2)/197 are not getting reflected at the Income tax Portal. Even income tax department (faceless assessment unit) has imposed Penalties in many cases in spite of the fact of non-working of the Income tax site from 1st June, 2021 onward. Activation emails remain undelivered in case of Registration of new PAN/TAN on the portal.

The Form No. 15CA and 15CB which are required for remittance of funds out of India have not been enabled at the Income Tax Portal. Though physical filing is permitted, it need to be followed by e-filing later on which will result in pure duplication.

The speed of uploading replies/submissions at e-proceeding portal of the e-filing portal is painfully low.  Even the replies and submission already done are not getting reflected at the Income Tax Portal.

Assesses are not able to download Intimations u/s 143(1) from the income tax portal for any year. Feature of ‘Forgot Password facility’ is not working properly. There is no Forget Password option to reset the password or the option to reset using the DSC as was available. Accounts are getting blocked on entering incorrect password for three times.

The most painful part is with regard to notice u/s 148 where numerous notices have been issued. Income tax returns in response to notices Ws 148 of the Income tax Act is not getting uploaded at the e-filing site. Further, these returns are to be filed within 30 days and since 30 days are already over but still the portal is not working. Someone needs to understand that issuing notice is not the only job of the Department but they also have the responsibility to provide with the mechanism to make a reply.

Another painful part with the income tax portal is with regard to appeal filing in form No. 35. The asses see’s are not able to file the form no. 35 and the period of 30 days is already over. The data is not getting saved and even the digital signature is also not getting attached while filing appeal.

Even already filed appeals which have been partly heard, written submissions of the same are not available or accessible at the Portal. Further in some old cases, remand reports arc pending and the same are not being reflecting at the Portal. Rather such old Written Submissions arc being called time and again. Old Rectification Applications are not accessible at the portal.

The biggest shock is the non availability of Form 10A and 10B for registration of Charitable Institutions despite 2 months of the new income tax portal announcements.

Legal heir of deceased assessee is not able to get himself register for filing of ITR, Submissions or appeal. The facility of Know Your TAN is not properly activated, due to which Trade Name behind the Individual TAN is not traceable for TDS as appearing in 26AS.

The tax terrorism needs to be curtailed. The formal communication need to be given to the taxpayers who are struggling for making the compliance. As the dates are already over, taxpayers are feeling helpless. It would be better if the Government announces the extension of all dates till 31st March 2022 as there is no communication / Updation in the working of the portal.

An Appeal: Please communicate and keep taxpayers updated about the development at the portal.