The income tax (I-T) department issued intimations to an estimated 500,000 taxpayers between April and August this year over “zero” and “lower advance tax payment”. The department sent these intimations after analysing “significant transaction” data for the previous financial year and the first quarter of the current financial year.
The department’s analysis flagged around 2.5 million cases where there were no or less advance tax payments in FY23 by those taxpayers who had significant income and made high-value purchases. In several cases, the advance tax payment in the first quarter (April-June) of the current financial year indicated that taxpayers paid lower taxes when compared to their high-value spends, indicating mismatch, an official privy to the development told Business Standard.
The department’s analysis flagged around 2.5 million cases where there were no or less advance tax payments in FY23 by those taxpayers who had significant income and made high-value purchases. In several cases, the advance tax payment in the first quarter (April-June) of the current financial year indicated that taxpayers paid lower taxes when compared to their high-value spends, indicating mismatch, an official privy to the development told Business Standard.