New Delhi: The Union Cabinet on Wednesday approved expenditure sanction of Rs 4,241.97 crore for Integrated e-filing and Centralised Processing Centre 2.0 Project of the Income Tax Department. The government aims to make the income tax return filling process faster with significant technological improvements.

The Centralised Processing Centre 2.0 Project will remove the physical intervention by the tax department and make the entire process automated, making it possible to process any return within 24 hours possible. It will enable the tax payers to get their refunds within in a day against the current average of over 60 days.

Here is the the list of improvements this project aims to achieve:

  1. Faster and accurate outcomes for taxpayer
  2. First time right approach
  3.  Enhancing user experience at all stages
  4.  Improving taxpayer awareness and education through continuous engagement
  5. Promoting voluntary tax compliance
  6. Managing outstanding demand

“Integrated E-filing and Centralised Processing Centre 2.0 Project” of the Income Tax Department is likely to be completed in 18 months. He added that the system will be launched for operations after a three month testing period”, Railways Minister Piyush Goyal said after the Cabinet meeting.  The  Infosys has been been selected for the project.

In an official statement, the government said, “he project will ensure transparency and accountability by facilitating faster processing of returns and issue of refunds to the taxpayer’s bank account directly without any interface with the Department.  The entire process will adhere to international best practices and standards (ISO certification). It will provide processing status updates and speedy communication using mobile app, email, SMS to the tax payers of the country.”

“The decision will ensure horizontal equity by processing returns filed by all categories of taxpayers across the country in a consistent, uniform, rule driven, identity blind manner. This will assure fairness in tax treatment to every taxpayer irrespective of their status”, the government said.

The proposal ensures the continuation of the Income Tax Department’s goal towards business transformation through technology.