Received I-T notice under Section 143(3)? How you should respond
The Indian Income Tax Department has transitioned to a 'faceless' assessment regime under Section 144B, removing in-person interactions to increase transparency and reduce bias. Taxpayers receiving notices under Section 143(3) are now required to submit evidence and responses through a centralized digital portal.
Why it matters
This represents a significant shift in administrative governance, aiming to modernize tax compliance and reduce corruption through technology.
India’s faceless assessment regime is an important part of a broader strategy to move away from manual, officer-led discretion-based scrutiny to a technology-led standardised and transparent tax administration. It significantly reduces the need for in-person meetings, improves accountability, and ensures examination of facts via digital records.The regime evolved from e-Proceedings and the e-Assessment Scheme, 2019, and was later provided with the necessary statutory basis vide Section 144B of the Income-tax Act, 1961 (‘the Act’). Assessments are now conducted through the National Faceless Assessment Centre (NaFAC’), supported by assessment, verification, technical and review units.This article explains what faceless scrutiny is. How does it work? Why are notices issued? And what are the timelines taxpayers should be aware of? Followed by some practical tips for preparing a clear and evidence-based response.What is a faceless assessment?Assessments under Section 144B of the Act are often described as both “faceless” and “jurisdiction-less”.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in