Faceless assessment: FinMin eases rules for authentication of e-records submission

By: |
September 07, 2021 7:25 PM

“In order to provide the benefit of the simplified process of authentication by EVC to these persons (such as companies, tax audit cases, etc.) , it has been decided to extend the simplified process of authentication by EVC to these persons also,” the ministry added.

Transfer pricing implies the prices at which various overseas divisions of a company transact with each other.Transfer pricing implies the prices at which various overseas divisions of a company transact with each other.

The finance ministry on Tuesday said electronic records submitted through registered account of taxpayers in the income tax portal shall be deemed to have been authenticated by the taxpayer by electronic verification code (EVC).

The Central Board of Direct Taxes (CBDT) amended income tax rules on Monday to ease authentication of records submitted in faceless assessment proceeding.

The ministry said the amended rule provides that electronic records submitted through registered account of the taxpayers in the income tax department’s portal shall be deemed to have been authenticated by the taxpayer by electronic verification code (EVC).

“Therefore, where a person submits an electronic record by logging into his registered account in designated portal of the income tax department, it shall be deemed that the electronic record has been authenticated by EVC…,” it said.

The ministry said this simplified process would also be available to companies, or tax audit cases and they are mandatorily required to authenticate the electronic records by digital signature.

“In order to provide the benefit of the simplified process of authentication by EVC to these persons (such as companies, tax audit cases, etc.) , it has been decided to extend the simplified process of authentication by EVC to these persons also,” the ministry added.

Hence, assessees who are mandatorily required to authenticate electronic records by digital signature shall be deemed to have authenticated the electronic records when they submit the record through their registered account in the Income tax department’s portal.

Legislative amendments in this regard would be brought in due course.

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