FM launches e-filing initiative

New Delhi, Oct 13 (UNI) The Income Tax Department was today propelled into the digital era with Finance Minister P Chidambaram launching its e-filing initiative, which has been made mandatory for Corporate tax payers.

With the opening up of this facility, taxpayers will now be able to file their return through the internet on the Department's website.

Mr Chidambaram said the Department will continue to initiate measures which are taxpayer friendly. He expressed the hope that companies will file their returns and installment of advance tax by October 31, 2006.

The software for the programme has been prepared by Tata Consultancy Services (TCS).

The Central Board of Driect Taxes (CBDT) function in this regard was organsied at North Block and on the occasion TCS and Hero Honda filed their returns using the e-filing facility.

The tax returns can be e-filed either using digital signature or without digital signature. If the e-filing is without digital signature, the taxpayers will also have to file a paper return.

"Corporates can file their income tax and Fringe BenefIt Tax (FBT) return combined in Form Number 1", Mr A K Sinha, a CBDT spokesman, later told newspersons here.

Mr Sinha said for other taxpayers e-filing was optional. They may e-file their return in Form No 2, Form No 2F or Form No 3.

"Those who have filed their income tax returns in any of these forms, or any other form, may e-file their FBT return form in Form No 3B," he said.

Mr Sinha said the new initiative will enable the government to interface with the stakeholders more effectively.

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