CBDT asks Income Tax to ensure better collection of revenue arrears

Concerned over 60 per cent shortfall in cash collection from arrear demands, the CBDT has asked the Income Tax department to pull up its socks and ensure it achieves the target in this regard as the current fiscal is running out fast.

While the Central Board of Direct Taxes (CBDT), the policy-making body for the I-T department, has fixed a target of Rs 53.98 crore to be collected during the 2016-17 financial year as part of the revenue stuck in arrear demands, only Rs 19.68 crore has been collected till the end of November.

The figure makes it clear that only about 37 per cent of the target, under this head, has been achieved till now.

"The level of performance in this critical result area of the department's work is completely non-acceptable. Three quarters of the financial year are already over and not even 50 per cent of the target has been achieved which itself was fixed at a fraction of the total arrears outstanding," CBDT Chairman Sushil Chandra wrote in a recent communication to all his regional heads.

Chandra asked the top brass of the department on ground to "take all measures for stepping up cash collection out of arrears as well as current demand so that not only the target set in this regard is met but significant contribution is also made towards achievement of the overall budget target of the regions (across the country)".

The CBDT boss has also sought collection of all due recoveries from all the regions that will boost the overall tax collection at the end of the current financial year on March 31 next year.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel