In a move aimed at greater use of technology interface in Tax administration, the CBDT has issued a press release on Dec 30 announcing that electronic filing of appeals before the first appellate level authority –  namely, the Commissioner of Income-tax (Appeals) – is being introduced.

The electronic filing will be mandatory for all Taxpayers who are required to file their Tax returns electronically. Currently, a large section of the Tax payer population [barring low-end tax payers with income less than INR 500,000] are required to file their Tax returns electronically. Given that most assessments which are challenged in Appeal are filed by non-individual Taxpayers and individuals in the higher tax brackets, the move is likely to usher in near-complete digitization of the appeal filing process at the first level.

The existing form 35 is also being substituted by a new form which the press releases promises to be more “structured, objective, systematic and aligned with the current provisions of the Income-tax Act”.  The electronic filing will also facilitate fixation of hearings of appeals electronically, adds the Press release.

Our comment

The introduction of electronic filing of appeals before the Commissioner of Income-tax (Appeals) is a very welcome move and one hopes that this would be the precursor to introducing e-filing of objections before the Dispute Resolution Panel and appeals before the Tax Tribunal.