Parliamentary Panel Urges Thorough Testing of New Income Tax E-Filing System

A parliamentary panel has directed the Income Tax department to conduct comprehensive testing of its e-filing portal and IT infrastructure to prevent issues when the new Income Tax Act is implemented in April 2025. Emphasis is on readiness, taxpayer support, and operational efficiency during this massive digital transition and modernization effort.

A Parliamentary panel has instructed the Income Tax department to carry out comprehensive stress and load testing of its e-filing portal and IT systems. This directive comes as the department prepares to implement a new Income Tax Act from April 2025.

The panel, led by BJP member Bhartruhari Mahtab, has noted that of the 190 forms needed under the new act, only 54 will be prepared by March 2026, with others to follow. Emphasizing a seamless transition, the panel calls for expedited notification and publishing of the Income-tax Rules and related forms.

The transition involves substantial digital upgrades backed by a significant funding of Rs 1,200 crore for FY 2026-27 to support ICT projects. The panel has further advised robust outreach campaigns to assist taxpayers in adapting to the new system without inconvenience.

(With inputs from agencies.)