- The Income Tax Department launched a new website called ‘Kar Saathi’, aimed at making tax-related processes simpler and more user-friendly.
- The platform brings all direct tax information under one roof and is designed to be easier to navigate and faster to use.
- The new website will help taxpayers access all information in one place while introducing ‘Kar Saathi’, an AI-powered companion to guide users through their tax-related queries and processes.
- The move is part of the government’s broader push to modernise tax administration and improve user experience through technology.
- The AI chatbot, Kar Saathi, is expected to provide round-the-clock assistance to taxpayers via the department’s website.
- The initiative was earlier highlighted by Central Board of Direct Taxes (CBDT) Chairman Ravi Agrawal during the launch of ‘PRARAMBH’, an outreach programme aimed at ensuring a smooth transition to the new Income Tax Act, 2025.
- Digital services, including the new website and guidance tools, will be rolled out in phases to create a seamless and technology-driven system.
- Agrawal described PRARAMBH, which stands for Policy Reform and Responsible Action for Mission Viksit Bharat, as a major step in India’s tax administration journey.
- The transition to the new tax framework is not just about introducing a new law, but also about making the system simpler, clearer and more reliable for taxpayers.
- As part of the simplification exercise, the number of rules has been reduced significantly from 510 to 333, while the number of forms has been cut from 399 to 190.
What is Income Tax?
Income Tax is a direct tax paid by individuals and businesses to the government on their income.
- The Income Tax Act, 1961 govern it.
Who Pays Income Tax?
- Individuals (salary, freelancers, professionals)
- HUF (Hindu Undivided Family)
- Firms & companies
- NRIs (on Indian income only)
Types of Income (5 Heads)
- Salary – wages, pensions
- House Property – rental income
- Business/Profession – business, freelancing
- Capital Gains – shares, property sale
- Other Sources – interest, gifts, lottery