IT Department’s ‘Jhatpat Processing’ Initiative

The Income Tax Department has recently launched a new initiative named- ‘Jhatpat Processing’ for making the ITR Filing easy and quick for the taxpayers.

Key Points

  • This initiative is for taxpayers whose and bank accounts are pre-validated and ITRs are verified.
  • Other than this, taxpayers should not have any arrears, no TDS or challan mismatch, and no income discrepancy to be eligible for the initiative.
  • The department has released videos explaining the complete process for filing ITR1 and ITR 4 through the ‘Jhatpat Processing’ initiative.
  • The last date to file ITR is 31st December 2020 for taxpayers who do not require audits. The last for those requiring audits is 31st January 2021.
  • Usually, the last date of filing ITR is July 31 but this year the deadline has been extended till December due to COVID-19.
  • As per the IT department, till December 24, more than 3.97 crore taxpayers have filed their ITR for 2019-20.

Income Tax Department

It is an agency of the government which undertakes direct tax collection of the Indian Government. It works under the Revenue Department of the Finance Ministry. The department was formed in 1860 and is headed by the Central Board of Direct Taxes (CBDT). The Income Tax Act, 1961 provides the power to the IT Department to levy income tax on individuals, companies, firms, local authorities, societies, etc.

In September 2020, the government announced various measures to promote investment and create employment through amendments in the Income-tax Act, 1961 and the Finance Act (No. 2), 2019.