{"id":16023,"date":"2020-09-08T14:30:24","date_gmt":"2020-09-08T09:00:24","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=16023"},"modified":"2020-09-08T14:32:27","modified_gmt":"2020-09-08T09:02:27","slug":"cbdt-provides-itr-filing-compliance-check-for-scheduled-commercial-banks","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/cbdt-provides-itr-filing-compliance-check-for-scheduled-commercial-banks\/","title":{"rendered":"CBDT Provides ITR Filing Compliance Check for Scheduled Commercial Banks"},"content":{"rendered":"\n

The order has been issued by CBDT (Central Board of Direct Taxes) in F.No. 225\/136\/2020\/ITA.II dated 31.08.2020
in relation to exercise of powers conferred under section 138(1) (a) of Income Tax Act, 1961, related to ITR filing<\/strong><\/a> status for compliance check for scheduled commercial banks.<\/p>\n\n\n\n

Reasons for Compliance Check <\/h2>\n\n\n\n

The\ndata related to cash withdrawal specified that a huge amount of cash is being\nwithdrawn by the persons who have never filed ITR. It is to make sure that ITR\nis filed by these persons and to keep trace of the cash withdrawals by the\nnon-filers of ITR, and to control black money, the Finance Act, 2020. <\/p>\n\n\n\n

With the effect from July 1st<\/sup>, 2020 the Income Tax Act, 1961 was further amended to limit the cash withdrawal to INR 20 lakh for the applicability of TDS for the non-filers of ITR. It also mandates TDS at a higher rate of interest 5% on cash withdrawal if the amount exceeds INR 1 crore by the non-filers of ITR.<\/p>\n\n\n\n

Read our article<\/b>:ITR Rectification \u2013 A Complete Guide on How To Rectify ITR Online<\/a><\/mark><\/p>\n\n\n\n

Steps taken by\nthe Income Tax Department for Compliance Check<\/h2>\n\n\n\n


The Income Tax Department has already provided functionality \u201cVerification of applicability under section 194N\u201d <\/em><\/strong>on the official website of Income Tax that is www.incometaxindiaefiling.gov.in<\/em><\/strong> for Banks and Post offices since July 1st<\/sup>, 2020. Through this functionality, Bank as well as Post Offices can get the applicable TDS<\/strong><\/a> rate as per section 194N of the Income-tax Act, 1961 by simply entering the PAN details of the person who is withdrawing cash. <\/p>\n\n\n\n

The Income Tax Department has now released a new function \u201cITR Filing Compliance Check\u201d<\/em><\/strong> which will be accessible to Scheduled Commercial Banks (SCBs) to check the ITR filing status of PANs in bulk. It can be done via Principal Director General of Income tax associated to the Scheduled Commercial Banks. The Salient Features of the Functionality <\/p>\n\n\n\n

\"<\/figure><\/div>\n\n\n\n

Accessing \u201cITR Filing Compliance Check\u201d<\/h3>\n\n\n\n

The principal officer and designated director of Scheduled Commercial Banks are required to be registered in the reporting portal of Income Tax Department. They should be able to use the function after logging into portal using their credentials provided by the department. After successfully logging in, a link to \u201cITR Filing Compliance Check<\/em><\/strong>\u201d will appear on the home page of the reporting portal.<\/p>\n\n\n\n

Preparing Request (Input) File Containing Pans<\/h3>\n\n\n\n

The CSV file will appear to\nenter PAN details by clicking on the \u201cDownload CSV file<\/em><\/strong>\u201d button on the \u201cITR\nFiling Compliance Check<\/em><\/strong>\u201d. PAN details are required for ITR filing to be\nentered in the downloaded CSV file. The current number of PAN in one file is limited\nto 10,000 for search and verification.<\/p>\n\n\n\n

Uploading the input in CSV file<\/h3>\n\n\n\n

Input in CSV file can be\nuploaded by clicking on Upload CSV button<\/em><\/strong>. While uploading,\n\u201cReference Financial Year\u201d is necessary to be preferred. Reference Financial\nYear is the year for which results are required for ITR Filing Compliance Check.\nIf selected Reference Financial Year is 2020-21 then results will be AY\n2017-18, 2018-19 & 2019-20. The uploaded file will be reflected with\nuploaded status as per your selection.<\/p>\n\n\n\n

Downloading the Output of CSV file<\/h3>\n\n\n\n

After processing the above, you\ncan check the status of your CSV file containing ITR Filing by entering the PAN\ndetails and related documents. After doing so, the output available for \u2018download\u2019\nand \u201cStatus\u201d will change to \u2018Available\u2019 automatically. Output of CSV file will\nhave PAN details that are name of the PAN card holder (masked) and show the ITR\nFiling status for last 3 AY. <\/p>\n\n\n\n

After downloading file, the\nstatus will change to downloaded. After 24 hours of file applicability, the\ndownload link will expire and status will change to Expired. <\/p>\n\n\n\n

Scheduled Commercial Banks can also use \u201cApplication Programming Interface<\/em><\/strong>[1]<\/em><\/strong><\/a><\/sup>\u201d based exchange to computerize and integrate the process with the bank\u2019s core banking solution. Scheduled Commercial Banks are required to apply document, appropriate information security policies and procedures with clearly defined role and responsibility to make sure that the information is secure.<\/p>\n\n\n\n

Conclusion<\/h2>\n\n\n\n

The decision taken by Income Tax Department for compliance check was due to data related to cash withdrawal, which specified that a huge amount of cash is being withdrawn by the persons who have never filed ITR. Therefore, it is to make sure that ITR is filed by these persons and to keep trace of the cash withdrawals by the non-filers of ITR. <\/p>\n\n\n\n

Read our article<\/b>:CBDT extended the Filing of ITR deadline till 30th September<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"

The order has been issued by CBDT (Central Board of Direct Taxes) in F.No. 225\/136\/2020\/ITA.II dated 31.08.2020 in relation to exercise of powers conferred under section 138(1) (a) of Income Tax Act, 1961, related to ITR filing status for compliance check for scheduled commercial banks. Reasons for Compliance Check The data related to cash withdrawal […]<\/p>\n","protected":false},"author":18,"featured_media":16027,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[10,153],"tags":[978],"acf":{"service_id":"78"},"authorName":"Sakshi Srivastava","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/IMG-20180130-WA0007.jpg","authorDescription":"Sakshi has pursued B.B.A.LL.B.(IPR Hons.). She is an avid reader and is keen to gather and share her knowledge on the subjects relating to IPR, Company Law and GST. Priorly she has worked as a legal researcher and vide her articles she aims at improving the core knowledge of the subjects to the masses.","postViews":3916,"readingTime":3,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/16023"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/18"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=16023"}],"version-history":[{"count":9,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/16023\/revisions"}],"predecessor-version":[{"id":16035,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/16023\/revisions\/16035"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/16027"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=16023"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=16023"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=16023"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}