The government has made it compulsory for tax payers with annual income of more than Rs 10 lakh to file their income tax returns electronically.
According to a notification issued by the Central Board of Direct Taxes (CBDT),all individuals and Hindu undivided family will have to file income tax returns electronically for assessment year 2012-13 if their income exceeds Rs 10 lakh.
However,digital signature will not be mandatory for such taxpayers and they can also transmit the data in the return electronically and thereafter submit the verification of the return. E-filing for such assessees was optional till 2010-11.
The income tax department had received a record 1.64 crore e-returns in 2011-12.
Currently,business houses with receipts of Rs 60 lakh and professionals with income of Rs 15 lakh are mandatorily required to e-file their return with digital signature.
As on March 31,2012,there were 19,684,592 tax payers who had registered for e-filing. The ministry said,e-filing is an easy,fast and secure method of filing income tax return and the processing for e-filed return is faster and taxpayers get their refunds,if due,quickly.
The electronically filed returns are processed at Centralised Processing Centre (CPC),Bangalore,and two new CPCs are coming up in Manesar and Pune. The department also provides some value-added services like tracking of refunds,viewing tax credit
status,e-mail and SMS alerts regarding status of processing and refunds to taxpayers who e-file their returns.