New Delhi:The Central Board of Direct Taxes (CBDT), which is apex policymaking body policy of Income Tax Department, has directed taxman to withdraw all appeal cases pertaining to certain monetary limits and parameters from various courts by end of this month.
The move by CBDT comes as part of government's drive to end frivolous litigations.The move assumes significance as government would present interim Budget for 2019-20 on February 1.In a letter to range heads and principal chief commissioners of Income Tax Department,CBDT Member (Revenue) Neena Kumar has directed them to "conclude" exercise of identification and closing of such cases by holding "personal meetings with senior officials of registry of Income Tax Appellate Tribunal (ITAT) and High Courts so that appeal withdrawal process is completed quickly".Ms Kumar further said that "litigation management is one of prime areas of focus of central government".She also pointed out that CBDT had issued a detailed circular on this subject in July last year.
As part of this circular, CBDT had hiked threshold limit for department to file appeals in tribunals (ITAT) and courts (High Courts and Supreme Court) in order to bring down litigation between I-T department and assessee substantially.It had then told department that appeals will not be filed in ITAT if monetary limit involved in case is within Rs 20 lakh.
The minimum limit is Rs 50 lakh for high courts and Rs 1 crore for apex court."It is clarified that an appeal should not be filed merely because tax effect in a case exceeds monetary limits prescribed above.
Filing of appeal in such cases is to be decided on merits of case," CBDT had said.The member in her latest communication said that as per data with CBDT, "substantial scope" of withdrawal of identified appeals exists.The entire exercise of withdrawal of appeals must conclude by January-end and withdrawal figures should be intimated to board by January 31, she said.
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