Income Tax - Appeals Mismanagement - CAG Frowns
AS per the instructions of the Board, each CIT (Appeal) is required to dispose of a minimum of 60 appeals per month, and a total of 720 appeals annually. Thus, 1,05,840 lakh appeals could have been disposed of during the year on the basis of the working strength of 147 CIT(A). CIT(A) were required to dispose of 2,57,656 cases during 2010-11. Out of this, CAG notes that only 70,474 appeals (27.4 per cent ) were disposed of and the average annual disposal per CIT(A) during 2010-11 was only 479 appeals.
The amount locked up in appeal cases with CIT(A) was Rs. 2.9 lakh crore in 2010-11 which is equivalent to 108.8 per cent of the revised revenue deficit of Government of India.
Further, the amount locked up in appeals at higher levels (ITAT/High Court/Supreme Court) was Rs. 2.1 lakh crore in 72,196 cases as on 31 March 2011.