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India’s Faceless Tax Assessment Scheme Mired In Litigation

Nov. 9, 2021, 9:59 PM

Two constitutional challenges, thousands of writ petitions and angry high courts. The Indian tax department’s Faceless Assessment Scheme has been mired in litigation in the first year of its implementation.

Introduced in August last year, the scheme promised transparency and efficiency in tax assessments. It takes away the element of interaction between an assessing officer and taxpayer, presumably to weed out any corruption. Cases are allocated on a random basis, irrespective of territorial jurisdiction.

Very briefly, the cases are assigned to tax officers by the national and regional e-assessment centers. And that kicks off a multi-level assessment process. The assessment ...