Hello,
I'm self employed earning online since 2013. My income was between 15 to 20 lakhs in a year. I don't do bigger investment, FD, Bonds, Mutual funds etc. That's why nothing is reported in my 26AS. I just live simple life not luxury at all. But from the last few years Government is reforming Tax system and fixing loop holes and now I am little bit worried about it.
Recently last month I got to know that IT Department is asking banks - "if someone is earning 5000 interest in a year from his account / deposits report him to us". I am making around 3 lakhs p.a from saving accounts interest which means from this financial year it may get reflected in the 26AS.
Read it here remark 1 https://www.caclubindia.com/news/files/40_20032_notification_2_2021_interest_income.pdf
Now i believe that something about me will get reported in the 26AS and, if I don't file ITR then they can open a case against me for non-filing of return.
I am willing to pay income tax but i am afraid of being harassed by IT Officers. I have mindset they are bad guy. However I have listen about "faceless appeal" or "Vivad se Wishvas". I Don't know much about it.
So what I want to know- "If I start to pay tax from this year. Is there any chance IT department can ask what was your earnings of the last year because you have earned 20 lakh in this year?
Or CPC will only look for the current year ITR and will approve it if everything is fine and then I will get a way to enter into a White Economy."
I'm just worried of being harassed by them that's why I am not filing my ITR. I don't want to go for previous year. I believe that I am not the first person who is facing this kind of dilemma. Which way should I go? So kindly share yours / any clients experience what happened when they started to pay ITR in this situation. You can also suggest me your views in my case.
Thanks ,
CAclubindia
