ITD on Thursday said the recent SMS and email communications sent to taxpayers regarding specific transactions and mismatches in their filings were of advisory intent and intended to help and facilitate taxpayers to correct their returns rather than punitive action.
The clarification follows a wave of messages alerting individuals to apparent discrepancies between information declared in their Income Tax Returns (ITRs) for Assessment Year 2025–26. These discrepancies arise from differences between taxpayers’ filings and data the department has received from reporting entities such as banks, financial institutions, and other sources.
I‑T Department Advises on Transaction Alerts Safety
Posting on X, the I‑T Department said such communications are sent only in cases where there is a ‘significant gap’ between what was reported in taxpayers’ returns and what the department’s systems have on record.
It said, “Taxpayers may please note that such communication is intended to facilitate compliance and make taxpayers aware of the information available with the Income Tax Department regarding transactions reported by reporting entities.”
Officials emphasized that these messages are not notices of enforcement action, scrutiny orders, or penalty proceedings. Instead, they represent an ongoing effort to encourage voluntary compliance and transparency in tax reporting. The department added that taxpayers who have filed accurate returns without discrepancies can safely disregard the communications.
How Can Taxpayers Correct AIS Discrepancies?
The department asked recipients of such messages to log in to their AIS on the income tax e-filing portal and check for any discrepancies between the AIS data and their filed ITRs. In case discrepancies are found, an already filed return can be revised, or, if no return has been filed as of the date, a ‘belated return’ can be filed.
The timeline to revise or file belated returns for the current assessment year remains 31 December 2025. This provides taxpayers a timely opportunity to rectify omissions or mistakes without attracting penalties, as long as they act before the cut‑off.
The clarification is intended to assuage concerns among taxpayers who may have reacted with alarm to the automated notices, emphasizing that the campaign aims to support correct filing and is not intended to shoot fish in a barrel.