LIVE TV DownloadNews18 App
News18 English
»
1-min read

IT Department Introduces Steps to Stop Refunds Based on Bogus Investments

Chairman Sushil Chandra said the Central Board of Direct Taxes (CBDT) has set up a three member committee to deal with the issues concerning "high-pitched" assessments wherein irrational tax demands are raised by tax officers.

Updated:December 19, 2018, 5:43 PM IST
facebookTwittergoogleskypewhatsapp
IT Department Introduces Steps to Stop Refunds Based on Bogus Investments
CBDT chairman Sushil Chandra . (File photo)
Loading...
New Delhi: The Income Tax department has introduced additional checks to prevent outgo towards bogus refund claims based on fraudulent investments shown in tax return forms, CBDT Chairman Sushil Chandra said on Wednesday.

The Central Board of Direct Taxes (CBDT) has set up a three member committee to deal with the issues concerning "high-pitched" assessments wherein irrational tax demands are raised by tax officers, he said.

Regretting that people are claiming bogus refunds, Chandra said it was time that people change their mentality and pay their due share of taxes honestly.

During the search operations in Mumbai, Bengaluru and certain parts of Punjab, the IT department discovered that some fraudsters were encouraging tax payers to claim refunds based on fictitious investments under 80C and towards housing loans.

"When we took that risk parameter and found from one I P address so many refunds are being filed which are of same pattern, so some searches took place. So we have put another risk parameter into our system that if some fraudulent return is being filed then that refund has to be stopped," Chandra said addressing an industry event here.

Referring to issues concerning "high-pitched" assessment, Chandra said that CBDT has already set up a committee to look into such cases.

"Many people came to us saying that our assessment is very high pitched, so we made 'high-pitched' assessment committee, which comprises of three principal commissioners wherein if you feel that your assessment is high pitched, you can approach the committee," he said.

A high-pitched scrutiny assessment case is one where it is found that the addition of income was made on frivolous grounds, non-observance of principles of natural justice, or non-application of mind and gross negligence by the assessing officer in deciding a case.

If the committee decides that the assessment is "high-pitched", it would stay the demand and steps would be initiated against the assessing officer.

"Last year, we have transferred more than 12 assessing officers who were found indulging in high pitched assessments," Chandra said.

Catch the Biggest Newsmakers and the Biggest Newsbreaks on CNN-News18, your favourite English TV news channel. Keep watching CNN-News18 at just 50 Paise per Month. Contact your cable /DTH operator Now!
*Rental / capacity fee of Rs.130/- as charged by cable / DTH operator may apply. **GST extra.

Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwittergoogleskypewhatsapp
Most Active
Company Price Change %Gain
Reliance 1,235.15 -0.21
Sun Pharma 418.95 5.18
Kotak Mahindra 1,291.75 1.91
Asian Paints 1,406.95 -1.07
Yes Bank 192.20 0.13
Company Price Change %Gain
Page Industries 22,510.10 -1.84
Reliance 1,234.75 0.02
Sun Pharma 418.05 4.95
Yes Bank 192.10 0.00
Axis Bank 661.80 0.23
Top Gainers
Company Price Change %Gain
Sun Pharma 418.95 5.18
Wipro 346.50 2.58
Titan Company 982.65 2.07
Kotak Mahindra 1,291.75 1.91
Dr Reddys Labs 2,640.30 1.56
Company Price Change %Gain
Sun Pharma 418.05 4.95
Kotak Mahindra 1,291.60 1.92
Bajaj Finance 2,616.65 1.07
Hero Motocorp 2,823.85 1.05
Axis Bank 661.80 0.23
Top Losers
Company Price Change %Gain
Vedanta 191.50 -3.50
Tata Steel 456.55 -3.21
M&M 708.50 -2.99
Zee Entertain 425.25 -2.61
HCL Tech 940.75 -2.59
Company Price Change %Gain
Vedanta 191.45 -3.50
Tata Steel 456.80 -3.13
M&M 708.05 -3.08
HCL Tech 941.60 -2.18
Bharti Airtel 304.25 -2.00

Live TV

Loading...
Countdown To Elections Results
  • 01 d
  • 12 h
  • 38 m
  • 09 s
To Assembly Elections 2018 Results