Tax Compliance Circulars & SOPs: Faceless Scheme & Standard Procedures

कर अनुपालन मानक संचालन प्रक्रिया (SOP) एवं दिशा-निर्देश

Comprehensive guide to official Standard Operating Procedures (SOPs) and instructions issued by the Central Board of Direct Taxes (CBDT) and Central Board of Indirect Taxes and Customs (CBIC): procedural safeguards for taxpayers during scrutiny, video conference hearing rights, and Section 270AA penalty immunity.

Written by: Author Profile

Direct Tax & CA Review Panel

Chartered Accountancy Review Panel • Senior Direct Tax Review Desk

Reviewed & Fact-Checked by: Technical Review Panel

Tax Law & Dispute Review Desk

Tax Litigation & Legal Review Panel • Tax Appeal & Procedure Review Desk

Published: 1st April 2026•Last Updated: 15th August 2026•Last Reviewed: 15th August 2026

Key Statutory Highlights (FY 2026-27 (AY 2027-28))

Faceless Assessment SOP: Mandatory issuance of Show Cause Notice (Draft Assessment Order) before making any addition to total income.

Video Conference Rights: Taxpayer has the statutory right to request personal hearing through video conferencing to explain factual evidence before final assessment.

Section 270AA Penalty Immunity: Application in Form 68 within 30 days of assessment order allows complete immunity from penalty u/s 270A and prosecution u/s 276C if tax is paid and no appeal is filed.

E-Verification Scheme 2021: Non-intrusive data mismatch resolution before issuing formal scrutiny notices.

Who is Eligible & When Does it Apply?

Applicability #1

All taxpayers facing scrutiny assessments, e-verification inquiries, or penalty proceedings.

Step-by-Step Procedure & Compliance Roadmap

Review Draft Assessment Order

Verify proposed variations and time allowed for submitting objections.

Request Video Conference Hearing if Required

Click 'Request Video Conferencing' under e-Proceedings on the portal.

Apply for Section 270AA Immunity

Pay assessed tax within 30 days and file Form 68 to prevent penalties and criminal prosecution.

Mandatory Documents Checklist

Draft Assessment Order, Written Submissions, Form 68 Immunity Application

Common Mistakes & Compliance Risks to Avoid

•Failing to file Form 68 within 30 days after paying assessed demand (forfeits penalty immunity).

Frequently Asked Questions

What is Section 270AA immunity from penalty?

Section 270AA allows a taxpayer to apply for immunity from penalty under Section 270A (under-reporting of income) and prosecution, provided the assessed tax and interest is paid within the 30-day notice period and no appeal is filed against the order.

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🛡️ Educational Disclaimer: FinSetu India is an independent educational guidance and calculation platform. Content is published for general citizen awareness based on applicable laws as of FY 2026-27 (AY 2027-28). We do not provide personalized legal/tax advice or file returns directly. Verify current applicable rules on official portals or consult a qualified Chartered Accountant / Tax Lawyer.