CBDT Chairman expresses dissatisfaction over recovery of demand and arrears
CBDT Chairman Shri Sushil Chandra in his latest department letter (DO) to all Principal Chief Commissioner of Income Tax has expressed dissatisfaction over unsatisfactory performance in the area of recovery from arrear and current demand- vis-a-vis Action Plan targets.
As per the said DO, the review of the position of collection out of arrear and current demand as on 28.02.2017 reveals that the performance of the Department as a whole and of almost all Pr. CCIT Regions individually is much below the targets given in the Central Action Plan 2016-17.
As per the DO the performance on the front of arrear demand is only 55.20% as under :
|
CCIT/DGIT Region |
Action Plan target | Cash Collection |
%age of Target achieved |
| LUCKNOW, UP EAST | 1589 | 297 | 18.7% |
| WEST BENGAL & SIKKIM | 5204 | 1307 | 25.1% |
| NAGPUR | 294 | 78 | 26.5% |
| CCIT (INT.TAXATION) | 4010 | 1253 | 31.2% |
| NORTH EAST REGION | 188 | 80 | 42.6% |
| UP WEST AND UTIARAKHAND | 861 | 374 | 43.4% |
| PUNE | 1895 | 850 | 44.9% |
| AP &TELANGANA | 2337 | 1060 | 45.4% |
| DELHI | 10598 | 5754 | 54.3% |
| BHUBANESWAR | 763 | 439 | 57.5% |
| BIHAR AND JHARKHAND | 285 | 166 | 58.2% |
| NORTH WEST REGION | 1364 | 807 | 59.2% |
| MUMBAI | 10836 | 6429 | 59.3% |
| KERALA | 640 | 425 | 66.4% |
| GUJARAT | 1530 | 1018 | 66.5% |
| BENGALURU | 6988 | 5462 | 78.2% |
| TAMIL NADU ‘ | 3103 | 2561 | 82.5% |
| RAJASTHAN | 416 | 383 | 92.1% |
| BHOPAL | 1082 | 1068 | 98.7% |
| Grand Total | 53983 | 29811 | 55.2% |
It can be seen that only eleven region have been able to achieve even 50% of the tragets set in CAP.
As per the DO, as regards collection out of current demand, at all India level, as per the Action Plan target, 20% of the demand raised i.e. Rs. 72,141 crore should be collected during the current financial year. However , till February , 2017, only Rs. 11,846 crore has been collected from current demand, which works out to be only 3.3% of the current demand raised and 16.4% of the target amount.
In fact as per data, the highest % of actual collection was only 10.50% in Bihar & Jharkhand and the worst collection of 0.30% was in UP West and Uttrakhand Region. Infact only two regions could touch double digit in % collection.
However a remarkable faeture to be noticed is that Lucknow UP(East) is somewhat lags behind in both the areas i.e., collection against CAP and collection gainst demand raised from 1st April.
Also, tweleve Resions failed to recover even 5% of the demand raised from 1st April.
The following table gives the full picture.
|
CCIT/DGIT REGION |
A. Demand raised from 1st April | B. Reduction by way of prepaid taxes | Net Demand for collection (A-B) | Target of cash Collection (20%) |
Actual Cash Collection |
|
| (Amt) | (%) | |||||
| UP WEST AND UTTARAKHAND | 33256 | 11142 | 22114 | 4423 | 61 | 0.3% |
| CCIT (INT. TA XATION) | 48745 | 1401 | 47344 | 9469 | 405 | 0.9% |
| LUCKNOW,UP EAST | 6330 | 804 | 5526 | 1105 | 60 | 1.1% |
| PUNE | 29576 | 17418 | 12159 | 2432 | 294 | 2.4% |
| DELHI | 112139 | 383 | 111756 | 22351 | 3086 | 2.8% |
| BHUBANESWAR | 3825 | 2043 | 1782 | 356 | 62 | 3.5% |
| MUMBAI | 70044 | 835 | 69210 | 13842 | 2474 | 3.6% |
| WEST BENGAL & SIKKIM | 24015 | 12384 | 11631 | 2326 | 429 | 3.7% |
| GUJARAT | 33406 | 13629 | 19777 | 3955 | 764 | 3.9% |
| KERLA | 13159 | 10424 | 2734 | 547 | 114 | 4.2% |
| NORTH WEST REGION | 8240 | 1690 | 6550 | 1310 | 309 | 4.7% |
| AP &TELENGANA | 16905 | 8439 | 8466 | 1693 | 404 | 4.8% |
| RAJASTHAN | 3141 | 497 | 2645 | 529 | 151 | 5.7% |
| BENGALURU | 36815 | 18193 | 18622 | 3724 | 1294 | 7.0% |
| TAMIL NADU | 38507 | 29265 | 9242 | 1848 | 783 | 8.5% |
| NER | 3113 | 2816 | 296 | 59 | 26 | 8.6% |
| NAGPUR | 3916 | 3542 | 375 | 75 | 37 | 9.9% |
| BHOPAL | 10056 | 1773 | 8282 | 1656 | 861 | 10.4% |
| BIHAR AND JHARKHAND | 3016 | 819 | 2197 | 439 | 231 | 10.5% |
| Grant Total | 498204 | 137496 | 360707 | 72141 | 11846 | 3.3% |
No doubt why the DO from the CBDT Chairman regrets that the above meager collections were achieved despite the fact that an entire last quarter of the year has been dedicated to the recovery work as the time-barring assessments were finalized by 31.12.2016.
As per the DO, there is no reason that targets set out in CAP cannot be achieved. The DO suggests that in high demand cases and in cases involving arrears of Rs.100 crore or more, wherever the demand have been confirmed by CIT(A), maximum amount must be recovered immediately .
The DO asks all PCCITs to direct all assessing officers and TROs to make concerted efforts towards recoveries from arrear and currents demands in the remaining period of the year so that the targets set in this regard are achieved without fail.
