How to submit feedback for Income Tax e-Campaign?

Income Tax
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Now that the due date to file ITR for FY 2021-22 has passed, everyone would be in a relaxed state. But here is something to be noted and taken care of. The Income tax department has started an e-campaign to reach out to taxpayers who have not filed their income tax returns or either reported inaccurate details. The purpose of the campaign is to validate taxpayers’ financial transactions with the details reported in their income tax returns. So, the department doesn’t have to go through the notice and scrutiny process, and here encourages voluntary compliance for the taxpayer’s convenience.

The Income Tax Department is sending SMS/ emails to the taxpayers to give feedback for mismatches related to financial information reported in the ITR and transactions reflected in the AIS or in case you have high-value transactions during the financial year.

The Income tax department has various information sources to verify such financial transactions received by them which include SEBI/ NSDL/ RTA/ CDSL etc.

You may receive an email or SMS from an e-campaign for these reasons:

  • Non-filing of return: If you have a potential tax liability or are obliged to file an income tax return for a specific assessment year and have not filed a return yet then you are required to submit feedback.
  • High-value transactions: If certain financial information of the taxpayer reported in their income tax return does not verify with the transactions found from the third or external party or might have missed disclosing some high-value transactions are displayed to you for feedback.
  • Significant transactions: If your specific financial transaction in the submitted ITR does not match the data held by the income tax department, feedback is requested in this head.

Submitting the feedback is not enough, you may have to file an updated ITR as per the expected response.

Is it compulsory to submit feedback for such SMS?

It is recommended to submit the feedback on the compliance portal. It is not always the case that discrepancy occurs if you have hidden or missed reporting any information, it may be the result of an AIS error, which should have been reported to the IT department in the form of feedback.

How to respond on an e-compliance portal?

In the e-Filing Portal, navigate to Pending Actions > Compliance Portal > E-Campaign, and select the AY. You are required to respond to the information appropriately.

For example, under the e-campaign list the type of issue is displayed High Value Transaction, for AY 2022-23, the status shown as partially submitted.

You are required to Provide Feedback in AIS (the information on which the feedback is required is marked as “Expected” in the AIS view. The Information category would include TDS /TCS (tax deducted or collected at source) or SFT.

You are required to respond to such transactions by selecting among the below-mentioned responses

  • Information is correct
  • Information is not fully correct
  • Information relates to other PAN/ year
  • Information is duplicate/ Included in other information
  • Information is denied

Let’s say you select Information is not fully correct, then it will give you the option to edit the correct amount of information and submit it.

Here’s you can check detailed article on submit feedback on e-compliance portal.

What If I don’t respond to compliance feedback?

It is advisable that in any situation, you’re required to submit the compliance response whether the details asked are correct or not. Because not responding to such requests may lead you to notice or scrutiny from the income tax department.

2

This query is for my father. He received SMS from IT Dept which said “Based on available information with IT Dept. It appears that you were required to file ITR for AY 2022-23 (FY 2021-22)… Please file your ITR or submit online response under e-Campaign tab on Compliance portal”.

On logging in to Compliance portal, I see option to provide feedback in AIS (Annual Information Statement). On the “Annual Information Statement” page, under SFT information tab, there is one item for “Purchase of immovable property”, which requires a feedback.

This property was jointly purchased by my father and me in Jan 2022 (FY2021-22). I am confused as to what feedback to provide for this (please see screenshot).

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  1. This item shows correct transaction date which is registration date of the property. It also lists “Transaction amount” which is the correct full value of the property. It also has “Transaction amount assigned” which has same value as “Transaction amount”. But, my father paid some partial amount (less than total value) as downpayment and rest was Home loan by myself. Do I need to edit this?

  2. Transaction Type shows is Sell, but the property was purchased by us. Is the value correct or I need to correct it?

  3. Property type is “Non agricultural land” which also seems incorrect as the purchased property is not land, it was apartment.

Should I select “Information is not fully correct” option by changing transaction amount or leave it as it is by marking “Information is correct”?

  1. Also, my father did initial down-payment of this property using money obtained by selling his share of ancestral property last year FY 2020-21. No ITR was filed that year or any year before by my father as his income has always been below taxable limit. So, should I select “Information relates to other PAN/year” option?

This is confusing. Please assist.

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Hello @niks94,

  1. Yes, you need to provide feedback on the e-compliance portal. Since there are some corrections required you can select the option as the information is partially correct and give feedback.

  2. Since you and your father jointly own this property the amount of purchase consideration should be proportionately updated for his PAN.

  3. You should update the transaction type as Buy. For taxation under capital gains property is divided between agricultural and non-agricultural land (and building appurtenant thereto) so that is fine.

  4. The property was purchased in the previous year hence information shown is reflecting for the correct year and PAN.

Hope this helps!

4

Hi Team,

I have received an e-compliance notice. When I am looking at my AIS, it is showing “cost of acquisition” as zero for all the shares that I have sold last year and credit type as “off market”.

But this is incorrect. I had bought shares for certain buy price so cost of acquisition can’t be zero. Please let me know what feedback should I submit in the AIS?

5

@Bharti_Vasvani If you can help here?

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Hello @mukul_aggarwal,

You can provide feedback as “Information is incorrect/ denied” if AIS is not reflecting actual data.

Hope this helps!

7

Hi @Bharti_Vasvani what action need to take after submitting the feed back in AIS portal as Information is correct in ITD for the AY 2021-22 (FY 2020-21). For the high value transaction message from the ITD. (Is it too late to submit response now or it can be ignorable). It’s related to saving interest from bank

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Hi @Bharti_Vasvani what action need to take after submitting the feed back in AIS portal as Information is correct in ITD for the AY 2021-22 (FY 2020-21). For the high value transaction message from the ITD. (Is it too late to submit response now or it can be ignorable). It’s related to saving interest from bank

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Hi @krishna123,

After submitting the feedback, nothing remains to be done at your end. For high value transactions, we recommend you to provide the feedback soon.

Hope this helps!

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HI @CA_Niyati_Mistry is that mandatory to file updated return after submitting Feedback in AIS portal ? please let me know on this. (For the FY 2020-21)

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Hi @krishna123,

It is not mandatory to update the return after submitting Feedback. But, if you have additional income to be reported you need to update the return.

Hope this clarifies!

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@Muskan_Balar @Bharti_Vasvani - thankyou for the details, very useful. I have a similar problem as niks94 but in my case there was no payment from my mother and brother’s account. The property deed had all 3 names but payment was completely from my side. But AIS for my mother and brother shows High Value Transaction as well with 1/3rd of property amount across all 3 of us.

for for mother and brother - Should I mark information as incorrect and change amount assigned to 0 or mark it information relates to other Pan(my PAN)? Please guide

Also should i then change my AIS too to reflect full amount instead of 1/3rd?

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@CA_Niyati_Mistry if you have any info on the above it would be very helpful.

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Hello @Rajat,

Though your mother and brother have not paid anything towards the purchase of the property, their names have been included in the sales deed, hence the information reflecting in their AIS for the 1/3rd amount of the property.

You can provide feedback as to the information related to other PANs and enter your PAN and assign the amount to 0 and give feedback accordingly in your AIS as well.

Hope this helps!

1 Like
15

thankyou so much for the advice.

1 Like
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I recently received a message from the Income Tax Department regarding high-value transactions not aligning with my filed Income Tax Return for the Assessment Year 2023-24. The message instructs me to submit my response on the Compliance Portal under the “e-Campaign” tab.

Here’s the catch: I’ve paid only a 10% down payment for an under-construction residential property, and the remaining amount will be paid after securing a loan next year upon possession. I want to provide accurate feedback on the Compliance Portal, but I’m unsure about the specifics.

If anyone has experience with a similar situation, especially concerning under-construction residential properties, I would greatly appreciate your advice on what feedback type to select and any additional details that should be updated. How should I navigate this to ensure compliance while reflecting the accurate financial situation?

Thank you in advance for your insights!

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Hey @Barry_Allen1336,

The feedback type selected by you is correct.

You can further enter the correct value of property for stamp duty. Moreover, then, you will have to enter the amount of down payment you have made under “transaction amount” and “transaction amount assigned”.

Hope this helps!

18

my father sold property last FY in which i was the joint holder although i had given affidavit that I don’t need any percentage from sale proceeds still I got AIS feedback notice. What reply shall I give?

@CA_Niyati_Mistry pls help!!

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Hello @neisal_mehta,

You can give the feedback that the “Information relates to another PAN”, and enter the details of your father’s PAN.

Hope this helps!