Accountability
The Problem
++ There are no clear lines of responsibility within department;
++ Large number of unsustainable show cause notices are being issued;
++ Errant personnel are going unpunished and there are no support structures for honest and hard working personnel;
++ Assessees feel that they do not have a say in the system.
Recommendations:
++ A charter of duty manual for all officials to be in place and updated once in two years.
++ The Range Superintendent/Inspectors and senior officials should be held accountable for gross irregularities which have taken place over a period of time.
++ When a Show Cause Notice is clearly unsustainable and dropped – full refund with interest at bank rate should be given to the assessee. References should be made in Confidential Character Reports (CCR) of the officers issuing frivolous/unsustainable show cause notices.
++ (Note: Some of the Show Cause Notices are being issued as per the CAG objections and Board (CBEC) directions. These notices are beyond the control of the issuing authority. The matter needs to be debated.)
When a Show Cause Notice is dropped, there is no demand and what refund are they asking?
Problem
++ The assessees are being harassed on trivial or illogical and clearly unsustainable queries
Recommendation
++ All queries should be submitted in writing to next higher authority. (It is normally the higher authority who is asking the query)
++ Along with Show Cause Notice review, a review of audit queries should also be done (It is being done)
++ There should be tracking system on refunds – how many and in what time-frame have they been disbursed. ( Refund claims are never delayed as there is interest liability and the officers are scared of interest)
++ The officials should be held accountable in case of arbitrary and unsustainable acts eg., raids and show cause notices (Provisions of Sections 22 and 40 of The Central Excise Act, 1944 may be reiterated). (Are they not?)