Service Tax - Nothing New in Arrest
IN FICCI's National Executive Committee Meeting yesterday, Praveen Mahajan, Chairperson, Central Board of Excise and Customs (CBEC), said that the arrest provisions have always existed and nothing new has been attempted. Citing examples, Mahajan said that in 2011-12, 527 cases of commercial fraud came into light and only 26 arrests were made and in 2010-11, 581 cases of commercial fraud took place out of which mere 64 were arrested. However, she assured the industry that the provisions would be reviewed from time to time, according to a press release of FICCI.
On introduction of Special Audits, Dr. Poonam Kishore Saxena, Chairperson, Central Board of Direct Taxes (CBDT), emphasized that it was not an attempt to overturn the judicial decision. The intent is to only assist the assessing officer as the volume of accounts at times is humungous. There is no arbitrariness in the matter, she declared.
Revenue Secretary Sumit Bose assured the industry that the dispute resolution mechanism was being strengthened through wide ranging restructuring of cadres of the Central Boards of Direct Taxes and Excise & Customs. This will enable the Finance Ministry to appoint more commissioners to deal with the rising trend of litigation and delays in adjudication of cases and refunds.
More Commissioners means more adjudication orders confirming huge demands - Sir, then we will need more Tribunal Benches and perhaps more High Court Benches, perhaps one for each Commissioner!