The Income Tax Department launched ''Kar Saathi'', an AI-powered chatbot designed to provide round-the-clock assistance to taxpayers under the new Income Tax Act 2025. The chatbot uses advanced natural language processing to help taxpayers with queries on filing returns, understanding tax provisions, claiming deductions, and resolving common tax-related issues.

Kar Saathi is available in both Hindi and English and can be accessed through the Income Tax e-filing portal and mobile app. The system has been trained on the complete Income Tax Act 2025, CBDT circulars, and frequently asked questions. It can handle queries related to tax computation, TDS/TCS provisions, advance tax calculations, and guide users through the e-filing process step by step. The initiative is part of the government''s broader digital governance push to make tax compliance simpler and more accessible, particularly for first-time filers and small taxpayers who cannot afford professional tax consultants.