I-T dept to set up data centre to check tax evasion
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I-T dept to set up data centre to check tax evasion

The Income Tax department has decided to set up a major data centre of such classified information on the lines of the existing two such centres on e-filing and TDS information.

 PTI   
  • New Delhi,  April 25, 2014  
  • |  
  • UPDATED   14:58 IST
I-T dept to set up data centre to check tax evasion
(Picture for representation only)

To fasten the process of identifying tax evaders, the Income Tax department has decided to set up a major data centre of such classified information on the lines of the existing two such centres on e-filing and TDS information.

The new office which has been named Centralised Processing Cell-Compliance Management (CPC-CM) will have its base in the national capital and a dedicated workforce, drawn from the department, will man it.

The CPC-CM is an ambitious project of the Central Board of Direct Taxes (CBDT) aimed at enabling the I-T department to use technical data to check cases of non-compliance and non- filers of taxes.

The project has been planned under the business intelligence project initiated by the CBDT to enable the taxman move from physical verification of a taxpayer to a smart approach of data-based monitoring and checking.

"The aim is to basically ensure voluntary compliance by taxpayers through the use of intelligent data at the disposal of the I-T department," a senior official involved in the project told PTI.

To bolster the investigative and enforcement skills of the I-T officials, the CPC-CM will have the entire database of the Permanent Account Number (PAN), reports generated by financial snoop agencies and the full assortment of letters and notices issued to non-compliant taxpayers, their replies and the final action in the new centre.

"The I-T department has already created two CPCs which have been running successfully. The first is for capture of e-filing data of taxpayers based in Bengaluru and the second is for hosting Tax Deducted at Source (TDS) data in Ghaziabad," the official said.