The CBDT has vide Order No. 47 of 2018 dated 27th March 2018 ordered the promotion and posting of officers to the grade of Chief Commissioners of Income-tax (level 16 in the pay matrix Rs. 2,05,400 – 2,24,400) w.e.f. the date of assumption of charge of the post and until further orders
The CBDT has issued an important directive dated 28th March 2018 on the subject of processing of returns under section 143(1) of the Income-tax Act.
The CBDT has pointed out that from Assessment Year 2017-18, discretion of Assessing Officer in processing returns under scrutiny has been completely removed and therefore, all returns have to be processed as per provisions of section 143(1) of the Act.
This is irrespective of the fact whether in cases under scrutiny, the Assessing Officer is contemplating taking recourse under section 241A of the Act to withhold the refund so arising on ground of concern for recovery of revenue.
The CBDT has specified the methodology to be followed by AOs for such processing
Hon’ble President Kovind took a subtle dig at the elite IRS Officers for treating taxpayers with contempt and behaving in a high-handed manner with them. “Tax payer is your partner, not your adversary,” the Hon’ble President said, echoing the words of several Courts which have repeatedly passed strictures against the department for adopting strong arm techniques with taxpayers. “You have a policy and regulatory role, but you are principally a service provider. Please be sensitive to the demands and dignity of the person – the honest tax payer – who is coming to you for a service,” the President added. He also advised the Income-tax department that while India’s tax to GDP ratio needs to improve, it has to be done “by persuasion” and not “by intrusion“.
A Task Force has been constituted to review the Income-tax Act, 1961 & to draft a new Direct Tax Law in consonance with the economic needs of the country. The Income-tax department has invited suggestions and feedback from stakeholders in the format provided on the departmental website. In response, Dr. Shivaram, Senior Advocate, has offered several valuable suggestions.
The CBDT has issued a directive dated 19th March 2018 by which it has revised the format in which notices under section 142(1) should be issued to assesseess. The CBDT has stated that the concept of electronic assessment proceeding was introduced last year and its scope was gradually enlarged. The e-assessment proceeding is now facilitated through e-filing portal. The CBDT Instruction No. 01/2018, dated 12-02-2018 has mandated that except for search related assessments and exceptional circumstance mentioned therein all other pending scrutiny assessment cases shall be conducted only through the ‘E-Proceedings’ functionality in ITBA/E-filing
The CBDT has finally taken formal notice of the alleged malpractices being indulged in by Commissioners of Income-tax (Appeals) with the active/passive connivance of the Chief Commissioners.
The CBDT has issued a stern directive dated 8th March 2018 stating that the defiance by the CsIT(A) of the Manual of Office Procedure relating to the passing of appellate orders “gives rise to suspicions about backdating of orders and/ or malafide intent” on the part of the concerned officer
The CBDT has issued Order Nos 33 and 34 of 2018, both dated 28.02.2018, whereby several Income-tax Officers have been appointed to the grade of Assistant Commissioners of Income-tax for the vacancy year 2015-16 from 22.07.2017 to 21.07.2018
In furtherance of Instruction No. 01/2018 dated 12th of February, 2018 issued by the CBDT regarding the conduct of electronic assessment proceedings, the CBDT has now notified the Centralized Communication Scheme 2018. The Centralized Communication Scheme 2018 contains provisions for the electronic issuance of notices to taxpayers and prescribes the format in which the information and documents have to be furnished. The notices to taxpayers will be issued by the centralized communication centre under Section 133C of the Income-tax Act, 1961 through email or by placing a copy in the registered account on the portal, followed by an intimation by short messaging service (SMS)
The CBDT has vide Order No. 30 of 2018 dated 19.02.2018 ordered the postings and transfers of officers in the grade of Commissioner of Income-tax with immediate effect and until further orders