GOVERNMENT OF INDIA
Ministry of Finance/ Department of Revenue
Central Board of Direct Taxes
North Block, New Delhi- 110001
E- mail: firstname.lastname@example.org
Tele: 23092648 & Telefax: 23092544
Chairman, CBDT &
Special Secretary to the Government of India
F. No.: 385/17/2016-IT(B)
Dated: 6th December, 2017
Dear Principal Chief Commissioner of Income Tax,
Subject: Accelerated efforts for maximization of revenue collection including recovery from arrear and current demand.
A review of the position of revenue collection at the end of November, 2017 reveals that the all-India growth rate of net collections is 14.36% as against the required growth rate of 15.3%. It is disappointing to note that some Regions are still showing a negative rate of growth of net collections while some other are growing at a rate much below their target growth rate. It is quite evident that sufficient efforts have not been made in the area of revenue maximization in some Regions.
2. One area where efforts of the field officers can directly result in higher collections is recovery from arrear and current demand. However, the figures of recoveries made till October, 2017 paint a dismal picture. Only 25.5% of the annual target of Rs. 71,513 crore has been collected out of arrear demand and a number of Regions have barely achieved 5% to 15% of the target. Similarly. in the area of current demand, as against the target of collection of 20% of the current demand raised, only 1.5% of the demand raised has been collected. A chart showing the performance of various Regions in the area of cash collection is enclosed for ready reference. Very few recovery-related surveys have been carried out in the country and practically no property has been auctioned by the TRO for recovery of demand.
3. You are, therefore, requested to take all measures to step up collections from arrear and current Recovery surveys should be carried out in a large number of suitable cases after due diligence. The powers of attachment and sale of moveable property should be invoked to effect recoveries where regular measures to recover the demand have not been successful. Even prosecution u/s 276C (2) should be invoked where demand is not being paid without any justifiable reason. Revenue-yielding non-time-barring scrutiny cases should also be completed now so that the demand so raised is partly collected in the current financial year itself.
4. These measures must be put in place immediately so that the results are visible from early next quarter. The last quarter may be specifically focused on cash collection from arrear and current demand so that the targets set in this regard are achieved and the overall position of revenue collection also improves significantly.
With Best Wishes,
Enclosure: As above.
All Principal Chief Commissioners of Income Tax
Copy to: All Members of CBDT for information and further follow-up.