Centralization in cases relating to investigations based on information received from outside under the DTAA - Income Tax - F.No.414/4/2012-Comm(Inv.)

F. No. 414/4/2012-Comm(Inv.) Government of India / Ministry of Finance Department of Revenue Central Board of Direct Taxes Room No. 155-A, North Block New Delhi dated 4th March 2012 Sub: Centralization in cases relating to investigations based on information received from outside under the DTAA . 1. Information is being received under the DTAAs from foreign governments, regarding bank accounts / assets of Indian citizens / tax residents / entities with Indian beneficiaries, held in their countries. Such information is to be processed and acted upon on priority, and also strict confidentiality has to be ensured, as there is corresponding commitment of secrecy and feedback. 2. In some places (like Mumbai, Delhi, etc.), the number of such cases is quite large and more such information is likely to be received in future. Further, in many cases the only point of investigation is the outstanding balance / transactions in some account or some receipt / income/asset held abroad, which may not involve any coordinated investigation as required in complex tax-evasion cases. 3. In some cases searches have been carried out u/s 132 and these cases have either been centralized or are in the. process of being centralized. However, in a large number of cases normal enquiries have been conducted. Centralizing non- search cases in large numbers by passing large-scale transfer orders may arouse suspicion / interest making it difficult to ensure confidentiality. 4. In view of the above, it has been decided with the approval of competent authority that; (i) Only cases in which search action u/s 132 has been taken, and its associated cases, may be centralized in the Central Charges under the concerned CCIT (Central) or DGlT (lnv.) preferably under the same CIT and in same Range. (ii) Non-search cases may be centralised under the jurisdictional CCIT under the same CIT and in same Range. This may be followed in regions where no Central Charges exist. (iii) In regions where such cases are with multiple CCsIT, the cases should be placed under one CCIT and preferably under the same CIT and in same Range. 5. These instructions may be strictly complied with by all CCslT/DGslT/CCsIT(C). Shishir Jha Commissioner (Inv.), CBDT