Para 4 - Electronic Collection and Verification

Electronic verification: automated collection and risk-based filtering of reported income information, enabling closure or escalation for further action.

The scheme mandates centralized electronic collection by the Commissioner of Income-tax (e-Verification), automated initial e-verification by communication to the source, and Board-approved risk management to close no/low-risk items. Remaining matters are electronically allocated to a Prescribed Authority for verification, returned as a preliminary verification report to the Commissioner, and matched with assessee returns to produce a final verification report. Low-risk items from the final report are closed; other items are either made available to assessing officers for pending scrutiny or processed for further action under the Act.