To strengthen the tax filing method, the Income Tax Department has retired the excel and java-based utility and replaced them with a new offline JSON-based utility for the fiscal year 2021-22. The new tool will assist taxpayers in importing pre-filled data and editing it before filing their income tax return (ITR). Let's take a look at the benefits of this new offline utility.
- Taxpayers can fill in the rest after downloading the pre-filled data from the income tax e-filing site. The pre-filled data that was imported can be updated to modify basic details such as address and so on.
- The PAN (permanent account number) cannot be updated. You will need to edit the details on the e-filing website and then download the pre-filled forms again using the utility to accomplish it.
- At the moment, the utility can be used to file ITR 1, 4. The tax department has also issued a procedure for using the utility.
- The option to upload the income tax return (ITR) to the e-filing site is currently unavailable. You can fill out the utility and save it, or you can export the output JSON file to your system.
- Although the tax department will be supplying pre-filled data, JSON technology makes the method of collecting data from other sources much quicker; as a result, the tax department has transitioned from the Java utility to the JSON utility, which is presently being used for submitting GST returns. It can manage huge data more efficiently, reducing taxpayers discomfort.
- The central board of direct taxes (CBDT) has been working tirelessly to improve practices and construct a tax regime that is convenient to taxpayers.
- Neha Malhotra, Director, Nangia Andersen India, also confirmed with news agency PTI that "The new utility is a user-friendly functionality for filing of returns and will afford greater ease to the taxpayers. The utility itself provides help in the form of FAQs, guidance notes, circulars and provisions of the law so as to enable hassle-free return filing. The Government's efforts, to build a favourable tax regime for taxpayers cannot be disregarded. Augmenting simplicity and removing impediments will go a long way in increasing compliance and facilitating good governance." According to Malhotra, "Taxpayers shall be able to pay taxes, verify and upload the ITR through the utility itself".