The recent awarding of the Taxnet 2.0 project to Bharti-Airtel by the Central Board of Direct Taxes (CBDT) marks a significant milestone in the enhancement of the tax department’s digital infrastructure. As the governing body of the income tax department, CBDT plays a pivotal role in overseeing such advancements.
Under this project, Bharti-Airtel will assume responsibility for delivering a range of services to the Income Tax (I-T) department, encompassing network connectivity, facility management, and video conferencing services. Airtel’s established expertise in the telecommunications industry led to its selection for this project through a competitive open tender process.
The Taxnet 2.0 project is anticipated to usher in substantial improvements over the current Taxnet 1.0 system. Key features of this new technology include heightened security of user data, a revamped network system, enhanced reliability, seamless connectivity, and improved tax services for both individuals and businesses. The implementation of Taxnet 2.0 will furnish the income tax department with a robust network connectivity platform.
Notwithstanding these positive advancements, it is imperative to acknowledge the challenges encountered by taxpayers in recent times. Many individuals faced difficulties while filing their income tax returns, including discrepancies between Form 26AS and AIS (Annual Information Statement) data. Taxpayers also reported issues in accessing Form 26AS/AIS/TIS (Taxpayer Information Summary), which have been attributed to discrepancies in figures and other factors.
Moreover, the income tax e-filing portal, despite its user-friendly design, has experienced accessibility issues and slow speeds during peak filing periods, as highlighted by Aarti Raote, Partner at Deloitte India. Furthermore, taxpayers who have opted for the new tax regime have encountered problems in claiming rebate under Section 87A of the Income Tax Act, 1961.
The new Taxnet 2.0 project by Bharti-Airtel holds the promise of ushering in positive changes to the taxpayer experience, particularly in the realm of digital infrastructure and tax services. However, it is imperative for the income tax department to address existing challenges and ensure a seamless transition for taxpayers in the upcoming implementation.
As the tax department prepares to undergo this digital transformation, it is vital to monitor the developments closely and address any issues that may arise in the process. Enhancing taxpayers’ experience is a necessary step in building a more efficient and effective tax system, and the success of the Taxnet 2.0 project will undoubtedly play a pivotal role in achieving this objective.