Govt Told to Ensure Glitch-Free IT Portal Before New Tax Law Implementation:

Govt Told to Ensure Glitch-Free IT Portal Before New Tax Law Implementation A Parliamentary panel has asked the Income Tax Department to thoroughly test its e-filing portal and entire IT system before the new Income Tax Act, 2025, starts from April 1, 2026. The committee wants the department to make sure there are no technical problems when taxpayers start using the system. The panel also said that the income tax rules and forms should be released quickly so that taxpayers and tax professionals have enough time to understand and adjust to the new system. According to the Income Tax Department, the new law will require 190 different forms. However, only 54 forms are expected to be ready by March 31, 2026, and the rest will be released later.

Also Read

Income Tax Act 2025: New Changes in Income Tax Rules from April 1, 2026

The Income Tax Act, 2025, will replace the Income Tax Act of 1961, which has been in use for more than 60 years. Because there were technical glitches in the e-filing portal in September 2025, the committee wants the government to stress-test the system before the new law begins. The committee also said that the IT systems, including the e-filing portal, ITBA, and Insight 2.0 projects, must be strong enough to handle large amounts of old data and many new tax returns without crashing. For this digital upgrade, the government has planned Rs 1,200 crore for IT and technology projects in the 2026-27 financial year. This will help create a Unified Data Architecture under the new tax law. The committee also said that tax officers must be properly trained so they can handle the new system effectively. In addition, the government has set aside Rs 27 crore for awareness campaigns and multimedia content.

Also Read

New Income Tax Act 2025: HRA Claims on Rent Paid to Relatives Face Stricter Disclosure Rules

The panel said, "The Committee would like to emphasise the need to immediately initiate mega outreach events, both physical and through media, on a widespread scale, as this is absolutely essential to assist taxpayers in navigating the transition without facing undue compliance hardships, penal action for genuine transitional errors and difficulties in the faceless assessment mechanism."