The Income Tax Department has launched a dedicated support service called ‘TAXASSIST’ to help taxpayers address notices and queries during the ongoing return filing season.
The move comes as the department intensifies its use of artificial intelligence (AI) and data analytics to flag suspicious deduction claims.
In a post on social media platform X, the department gave an example of a common mistake. If a taxpayer has wrongly claimed a deduction under Section 80GGC (which is meant only for individuals and not businesses), they should either file a revised return or an updated return (ITR-U) and pay any applicable taxes.
In response to a query, the department confirmed that taxpayers can use TAXASSIST to rectify such errors and receive guidance on the next steps.
This year, the tax department is actively using AI tools and data analytics to detect irregularities in ITR filings. It is cross-verifying deduction claims with third-party data from banks, mutual funds, employers, and other financial entities. This is done using the Annual Information Statement (AIS), Statement of Financial Transactions (SFT), and other digital records.
Cases where deductions are claimed without proper documentation or where the data does not match are automatically flagged for further scrutiny. Taxpayers must respond with supporting documents or face tax demands, penalties, or further action.
The last date to file income tax returns for Assessment Year 2025–26 is September 15.
Introducing “TAXASSIST”
your go-to support for all tax concerns!From helping you navigate departmental communications and keeping your finances in check, to reminding you of key tax deadlines
This campaign is designed to guide, support, and simplify.Stay informed. Stay… pic.twitter.com/Kg3flUM80f
— Income Tax India (@IncomeTaxIndia) June 30, 2025
