Artificial intelligence (AI)

The Income Tax department is exploring usage of artificial intelligence (AI) to build regression models to identify deviations and errors in tax filing and separate those deviations for further assessment,

The income tax department will conduct the strictest scrutiny of tax returns. To facilitate this process, they have implemented a specially designed, automated and enhanced artificial intelligence software program (AI) for scrutinizing income tax returns (ITR)

Digital platforms and instruments are making it possible to build relationships that are not transparent to the tax authorities. Developing digital technologies, including AI and big data, generates new possibilities for improving tax services.

The Income Tax department has reportedly sent notices to several tax evaders after reassessing the returns filed using AI.