- The Income Tax Department is introducing a new e-filing system called Project IEC 3.0.
- The update aims to make ITR filing faster and more user-friendly.
- The department is asking for public feedback on the new system before launch.
- Common issues with the current system, like server problems and form downloading issues, are expected to be fixed.
- A committee will collect feedback from taxpayers and experts, with responses due by November 30, 2024.
The Income Tax Department plans to revamp its e-filing system by launching Project IEC 3.0. The new system will replace the current Integrated e-filing and Centralised Processing Centre (IEC) 2.0, which has been in place for several years.
What Does Project IEC 3.0 Mean for Taxpayers?
The new system is designed to make filing Income Tax Returns (ITRs) simpler and faster. Taxpayers will still be able to file their returns online, submit forms, and access services through the portal. However, Project IEC 3.0 will bring many improvements to the current system, making it easier to use.
One of the main upgrades includes faster processing of returns, which could lead to quicker refunds. The updated system will also focus on fixing common issues that taxpayers faced with IEC 2.0, such as slow servers, problems downloading forms, and failed payments.
Read in detail: Features and Benefits of the New Income Tax Portal
Why Is the Update Needed?
The current system (IEC 2.0) had several challenges, including delays in processing returns and technical difficulties. Taxpayers and tax professionals have reported various problems, like not being able to access the previous year’s returns or download important forms. With more people filing their taxes online, the tax department felt the need for a better, faster system.
Project IEC 3.0 will ensure a smoother experience for taxpayers and tax professionals alike. The new system will use advanced technology to process ITRs more efficiently and with fewer errors.
Tax Department Invites Public Feedback
Before launching the new portal, the Income Tax Department is asking taxpayers and professionals for their feedback. The department wants to know what people liked and disliked about the old system and what improvements they would suggest for Project IEC 3.0.
A special committee will gather opinions from all regions of the country. A senior officer leads the committee and will collect feedback from both taxpayers and professionals. The deadline for submitting suggestions is November 30, 2024.
What Are Experts Saying?
Tax experts believe that Project IEC 3.0 will be a big improvement over the current system. They anticipate that the new portal will offer a more user-friendly experience for taxpayers. During busy tax seasons, the current portal often struggles to handle the load, but these issues may be resolved with the new upgrades.
If the new system is rolled out on time, it could help avoid frustrations and legal challenges that have arisen in the past. The improvements are expected to make filing taxes faster, easier, and less stressful.
