In a bid to reduce the processing time for refunds to just one day from 63 days, the government has selected IT-major Infosys to develop Rs 4,241.97 crore worth next-generation income tax filing system. The new project is expected to be completed in 18 months and will be launched after three months of testing, government said. The government is aiming to implement the new project for filing of returns in 2020. The Cabinet meeting chaired by Prime Minister Narendra Modi, gave its \u201capproval to expenditure sanction of Rs 4,241.97 crore for Integrated E-filing and Centralised Processing Centre 2.0 Project of the Income Tax Department\u201d, Union minister Piyush Goyal said. How new tax filing system may help taxpayers The new system would cut down troubles for the taxpayers on account of delay in processing of refunds, Piyush Goyal also said. Even the Central Board of Direct Taxes (CBDT) used to spend a lot of money in form of interest on pending refunds, he added. The reduction in processing period would help both the taxpayers and CBDT, he also said. Also read: Share market LIVE: Sensex holds gains, Nifty above 10,900; RIL gains 1%, Yes Bank down 3% The new system is expected to enhance transparency and accountability, and also faster process returns and issue refunds to the taxpayers\u2019 bank account directly without any interface with the Income Tax Department. The new project is likely to enhance user experience at all stages, improve taxpayer awareness and education through continuous engagement, the government also said. \u00a0In addition, it would also promote voluntary tax compliance and managing outstanding demand, it added. The government also said that tax refunds worth Rs 1.83 lakh crore have been issued so far in FY19.