No Action on High Profile Tax Defaulters

New Delhi : April 27,2012 The C&AG conducted performance audit of Recovery of Arrears of Tax Demand of the Income Tax Department and the report Number 23 of 2011-12 was laid on the table of the Lok Sabha/Rajya Sabha on 16-12-2011.  In the report, the C&AG has identified weakening of certain control mechanism and non-adherence by the field formation to prescribed procedures in some cases and make observations/recommendations to further improve internal control mechanism and to monitor the recovery of Income Tax Arrears more effectively.  The observations/recommendations of the C&AG and the response of the Ministry thereto are included in the above-mentioned report of the C&AG. The amount of certified demand left uncollected for the year 2009-10 and 2010-11 is as under: (as on 31.03-2011) Year No. of certificates No. of defaulters Amount (Rs. Lakhs) 2009-10 19,162 14,891 81,04,083 2010-11 22,025 15,489 5,35,123 Raising of demand and recovery of taxes is a continuous process which is affected by many factors due to which arrears are accumulated.  Some of the factors which lead to pendency of arrears are non-traceable assesses, assesses with inadequate or nil assets, assesses notified under Special Court  (Trial of offences relating to transaction in securities) Act, 1992, cases before BIFR, companies in liquidation etc.  The position of uncollected tax dues is monitored on regular basis in each case and the possibilities of collection are constantly evaluated.  Cases of large demand (Rs.10 crores and above) are also monitored at the level of CBDT on quarterly basis. This information was given by the Minister of State for Finance, Shri S.S.Palanimanickam in written reply to a question in Lok  Sabha today. http://www.financialexpress.com/news/15-489-tax-defaulters-in-1011-govt/942406/2 15,489 tax defaulters in '10-'11: Govt AGENCIES Posted: Friday, Apr 27, 2012 at 1759 hrs IST New Delhi: The government today said income tax demands amounting to Rs 5,351.23 crore remained uncollected in 2010-11. The amount of "certified" income tax demand left uncollected in 2009-10 was Rs 81,040.83 crore, Minister of State for Finance S S Palanimanickam said in the Lok Sabha during the Question Hour. He said there were 15,489 tax defaulters in 2010-11 as against 14,891 in 2009-10. Replying a question on audits of Income Tax recovery process, he said the Comptroller and Auditor General (CAG), in its report tabled in Parliament in December 2011, had identified weakening of certain control mechanism and non-adherence by the field formation to prescribed procedures in some cases. The CAG had made observations and recommendations to further improve internal control mechanism and to monitor the recovery of income tax arrears more effectively. Palanimanickam also said the raising of demand and recovery of taxes is a continuous process that is affected by many factors due to.. "The position of uncollected tax dues is monitored on regular basis in each case and the possibilities of collection are constantly evaluated," the minister said. Besides, the Central Board of Direct Taxes (CBDT) monitors cases of large demand (Rs 10 crore and above) on a quarterly basis. He further said the factors which lead to pendency of arrears include non-traceable assesses, assesses with inadequate or nil assets and companies in liquidations. I-T demands of Rs 5,351 cr remain uncollected Font Size -A+A http://www.expressindia.com/latest-news/15-489-tax-defaulters-in-1011-Govt/942406/ The government today saidincome tax demands amounting to Rs 5,351.23 crore remained uncollected in 2010-11.The amount of "certified" income tax demand left uncollected in 2009-10 was Rs 81,040.83 crore, Minister of State for Finance S S Palanimanickam said in the Lok Sabha during the Question Hour. He said there were 15,489 tax defaulters in 2010-11 as against 14,891 in 2009-10. Replying a question on audits of Income Taxrecovery process, he said the Comptroller and Auditor General (CAG), in its report tabled in Parliament in December 2011, had identified weakening of certain control mechanism and non-adherence by the field formation to prescribed procedures in some cases. The CAG had made observations and recommendations to further improve internal control mechanism and to monitor the recovery of income tax arrears more effectively. Palanimanickam also said the raising of demand and recovery of taxes is a continuous process that is affected by many factors due to which arrears are accumulated. "The position of uncollected tax dues is monitored on regular basis in each case and the possibilities of collection are constantly evaluated," the minister said. Besides, the Central Board of Direct Taxes(CBDT) monitors cases of large demand (Rs 10 crore and above) on a quarterly basis. He further said the factors which lead to pendency of arrears include non-traceable assesses, assesses with inadequate or nil assets and companies in liquidations