Key Point

♦ The Income Tax Department has changed the E-filing portal for the convenience of taxpayers and tax consultants.

♦ As the due dates of Tax Audits and Income tax return filing have been extended, the Ministry of Corporate affairs also had to extend the due date by 2 months with the condition for holding of Annual General Meeting by companies from 30th Sept 2021 to 30th November 2021.

♦ The tax consultant is finding it difficult to manage the workload due to the clash of extended due dates and current due dates.

Arjuna (Fictional Character): Krishna, The Income Tax Department has changed the E-filing portal for the convenience of taxpayers and tax consultants. However, due to the poor functioning of the new portal the due dates of return filing, audit, and various other compliance have been extended.

Side Effects of poor functioning of New Income Tax Portal

Krishna, (Fictional Character): Arjuna, The due dates have been extended but there are many side effects of such extensions.

Arjuna (Fictional Character): Krishna, what are the side effects due to extensions of various due dates?

Krishna, (Fictional Character): Arjuna, As the due dates of Tax Audits and Income tax return filing, have been extended, the Ministry of Corporate affairs also had to extend the due date by 2 months with the condition for holding of Annual General Meeting by companies from 30th Sept 2021 to 30th November 2021. Similarly, the Government of Maharashtra also extended the due date for holding of AGM by co-operative housing societies of Maharashtra from 30th September 2021 to 31st March 2022.

Arjuna,(Fictional Character): Krishna, are there any other side effects also on the taxpayers?

Krishna, (Fictional Character): Arjuna, yes due to technical glitches on the new Income Tax portal, taxpayers have failed to file an income tax return, Audit Reports and there is a delay in submission of ITR and Financials in a bank for loan purposes, CC renewal, Visa Application, etc. Further, refund is also getting delayed in many cases. This has posed various difficulties for the taxpayers.

Arjuna,(Fictional Character): Krishna, what are the problem faced by tax consultants in this scenario?

Krishna, (Fictional Character): Arjuna, the tax consultant is finding it difficult to manage the workload due to the clash of extended due dates and current due dates. The tax consultants are getting stressed a lot of time is getting wasted due to duplication of work.

Arjuna,(Fictional Character): Krishna, what should be done in such a situation?

Krishna, (Fictional Character): Arjuna, the government has extended the due dates for compliances till the portal functions smoothly but still the side effects of the same are being faced by all the stakeholders. In the previous year 2020, the tax system was stuck due to Covid-19 and again in the current year 2021, the tax system in India is stuck with technical glitches of the new income tax portal. So the ultimate solution will be to take concrete steps to solve the technical issues of the income tax portal at the earliest.

Author Bio

Qualification: CA in Practice
Company: R.B. Sharma and Co
Location: Aurangabad, Maharashtra, India
Member Since: 27 Jan 2018 | Total Posts: 342
1. Vice-Chairmen of WIRC of ICAI for the year 2015-2021. 2. Youngest Chairman of Aurangabad Branch of WIRC of ICAI in 2002. 3. Author of Popular Tax articles series based on Krishna and Arjuna conversation i.e “KARNITI” published in Lokmat on every Monday. Till date 335+ weekly articles ha View Full Profile

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22 Comments

  1. GANDHI MOHAN BHARATI says:

    I m aghast with such a useless portal which had been operationalised without proper testing. What was the hurry? Payment to Infosys?

  2. Bishwanath Bhattacharya says:

    New e-filing portal is an useless one. Full of glitches, takes long to load and many others. Don’t understand why IT dept. became so crazy to change the earlier user friendly and established software to a new one. Is it to favour the corporate Infosys with a Rs.4000 Crore contract, may be with a chunk as ‘cut money’ ? Most ridiculous and useless decision.

  3. Haresh Mutreja says:

    I had saved return of income to be filed after sometime. On logging in I noticed that the schedule showed confirmed. As such I filed the return. On taking the printout of ITR V l was shocked to see only the business income bein reflected and no income from other sources nor the TDS figure was showing. As such in place of refund the acknowledgement was showing Nil refund. I had to immediately file revise return. Waste of time

  4. Lgvasta says:

    While filing incometax return and payment of remaining due tax I could not come across section 194A for interest income on bank deposits.where to classify such income.return provides for section 194 and not for 194A.

  5. Ramnath Viswanath says:

    My CA has been trying to process 15 CA,CB since Sept 15, but no luck. Funds badly needed outside India . Is this what “good” governance all about ? Extremely upset.

  6. Satyanarayana says:

    I filed three returns of mine,my wife and daughter without any problem. Recd refund too. All ITR1 and online. I kept all data ready and just filled the info. Tax payment was also easy. Hope all the glitches will be overcome soon.

  7. ANTONY KUNDUKULAM says:

    GOVERNMENT OUGHT TO TAKE URGENT STEPS TO RECTIFY THE GLITCHES ON THE PORTAL FIRST, THEN EXTEND THE DUE DATES FOR E-FILING. IT IS VERY UNFORTUNATE THAT THE GOVERNMENT FAILED TO ADDRESS THE ISSUES PROPERLY. SMALL TAX PAYERS ALREADY HAVE A BITTER EXPERIENCE WITH GSTN PORTAL.

  8. Pravinchandra G Desai says:

    An EMAIL address should be setup by the Tax Department where grievances could be addressed and human intervention could requested to solve quarries.

  9. Pravinchandra G Desai says:

    I have successfully uploaded four ITRs, for myself, my wife and for my two NRI DAUGHTERS. But the process is stuck at verification stage. ITRVs have been signed, sent to Bangalore, SMS/EMAIL acknowledgments have been received. But IT accounts show that the returns are yet to be verified. What do I do now? Can I take my grievance to an IT official bypassing the IT WEBSITE? My previous comment appears to have disappeared.

  10. narayandas karwa says:

    One expect assessee to be Honest,Transperant,clear,sober polite, pay once asked and what not and face Hostile Portal for filing purpose as if do not have any other work.
    How can a system be thrown open even atleast without testing as working or not. LOGIN it self was difficult in the beginning.
    Go on telling problems they will solve.
    grievence on grievence.

  11. Pravinchandra G Desai says:

    I have successfully uploaded four ITRs. And as all the ITRs could not be verified by normal ways recommended our ITRs can not be processed and refund process cannot be initiated in cases of my two NRI daughters where substantial refunds are due. Is it not possible in such cases for process to be taken over manually bypassing the ITR SOFTWARE and assessments raised and refunds granted?

  12. sagar shrivastava says:

    Tax portal has lot of things to be improved. 1 The tds section asks for pan of spouse inspite of initial certification that tds belongs to self.
    2. Entry of LTCG of each transaction of shares sale purchased before 31st jan 2018 is very tedious. After filling the ISIN number of shares name does not appear automatically. Previous utility did not need filling of name of share.

  13. CA veerendra murashillin Hubli says:

    Trur, few more side effects to add is
    Assessee is confirmed of ITR filing only when he has ACK COPY.
    He may postpone the payment
    Banker wants ACk for disbursement of loan
    Snd many more

  14. GANDHI MOHAN BHARATI says:

    No one is going to listen to the poor crying assessees. Their importance is to please the Corporate Infosys.
    Is the RSS magazine right about Infosys collapsing our Revenue Administration?

  15. Latha says:

    Having been in the Income tax Department during the transition from manual to the e-portal system and having really experienced how long it took for us to understand the problems on the e-portal and give feedback – ultimately it is only the field officers who can really know where the system is facing a problem, I just don’t understand how the Department can throw out an existing system (which took years to develop) and bring in a new one overnight and expect that everything will be working perfectly. The new system is not only a problem for the tax payer but I am sure internally too, there would be lot of problems which will surface. Whose great idea (or should I say crazy idea) was it to change this in totality?

  16. Jahed says:

    Its been many years we are filing Income Tax Returns, but this new site has become a night mare for us, lots of bugs, takes long time to load, information entered on the site gets disappeared once we log out, unable to verify the returns after filing and I am sure there are 100s of other problems the professional are facing with regards to this new site apart from the problem of GST.

    Really it adding a lot of frustration as to why the Government came with this idea of new site and gave the contract to Infosys who are totally inefficient as they don’t have any knowledge whatsoever about the problems the professionals are facing, we are not able to file returns on time and also loosing the clientele.

    Does Infosys deals the same way with their overseas client ? I want to know about it.

  17. Kamlesh Vajpeyi says:

    Very well said..! Older version was at least user friendly.. At least they should have test checked. The new version. Before Launch. Every thing is being delayed.

  18. Yeshwant says:

    Portal not responding they show verious queries and very tire some.in year I have filed 150to 250 return by through the old portal but now the new portal I could not do single return. Thanks to all responsible person.

  19. Prof Jitendra Singh says:

    Use of Hindu Gods and mythological characters should be avoided in articles.

    Please take care in future and change names from present article.

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