Taxnet 2.0: How will taxpayers’ experience improve with new digital infra technology?

With Central Board of Direct Taxes (CBDT) awarding Taxnet 2.0 project to Bharti-Airtel, tax department’s network system is likely to undergo a facelift. For the uninitiated, CBDT is the top governing body that heads the income tax department.

The Sunil Mittal-led telecom company will be responsible for a slew of services to be provided to the Income Tax (I-T) department such as network connectivity, facility management services and video conferencing services. 

Airtel, known for its expertise in the field of telecommunication, has been selected for this project of income tax department through an open tender selection process.

This is seen as a step towards significant advancement over the current Taxnet 1.0 project, which will enhance the I-T department’s digital infrastructure. Some of the key features of Taxnet 2.0 are as followed:

The Taxnet project set to improve users’ experience:

1. By providing enhanced security of the users of income tax department portal, and protecting sensitive data and ensuring privacy with the help of state-of-the-art technology.

2. By revamping the income tax department’s network system, giving better security and a high-performance user experience.

3. Improving reliability by delivering consistent service to the users of income tax department across India.

4. Ensuring seamless connectivity by ensuring smooth and uninterrupted access to the users of income tax (I-T) department

5. Enhancing tax services for citizens and businesses alike.

6. With implementation of Taxnet 2.0, income tax department (ITD) will get a robust network connectivity platform.

Meanwhile, it is vital to recall that a number of taxpayers recently faced a lot of glitches while filing their income tax return (ITR). Several users recently reported differences between Form 26AS and AIS (Annual Information Statement) data.

Chartered Accountant Abhishek Jain said that tax payers faced a range of challenges in accessing Form 26AS/AIS/TIS (Taxpayer Information Summary), resulting from discrepancies in figures, among other reasons.

Aarti Raote, Partner at Deloitte India, quoted in this Livemint article said income tax e-filing portal – notwithstanding its user-friendly design — stares at accessibility issues and slow speed during peak filing periods.

Besides these, a number of taxpayers who have opted for the new tax regime have faced problem with regards to claiming of rebate under 87A of Income Tax (I-T) Act, 1961.