Emphasis on summary assessments u/s 140A. - Income Tax - 436/CBDT

INSTRUCTION NO. 436/CBDT Dated: June 3, 1972 I am directed to say that the position of appeals before the Appellate Assistant Commissioners during the preceding year 1971-72 and the year before was as under:- 1970-71 1971-72 (1) Opening balance 2,16,785 2,23,073 (2) Instructions 2,42,304 2,47,574 (3) Disposals 2,38,266 2,12,317 (4) Balance pending 2,23,266 2,58,421 (5) Appeals filing % against 6.4% 6.04% number of assessments completed 2, The instruction of appeals in 1971-72 as compared to 1970-71 was quantitatively more, but in terms of percentage as against assessments completed there was a slight decline. It is hoped that with more emphasis on summary assessments in the current year, the appeal institution percentage against assessments completed would further decline in this year. The disposals of appeals in 1971-72 declined by about 26,000 as compared to last year and the pendency at the close of the year 1971-72 increased by about 35,000 as against last year. This is disturbing. However, the fall in disposals is to an extent understandable due to (i) large number of Appellate Assistant Commissioners posts remaining vacant in 1971-72 for want of promotion and posting, and (ii) in the last few months of the year, disposal quotas were relaxed in favour of drive for clearance of big demand involving appeals. Towards the end of 1971-72, the vacant posts were filled and the disposal quotas have been revived in the current year. It is, therefore, hoped that there would be good disposals in the current year and the appeals pendency considerably reduced. We have to strive to achieve, as indicated by the Public Accounts Committee, to reduce pendency to only about 4 months workload as against well over one year's workload we carry now. 3. With the filling of vacant posts of Appellate Assistant Commissioners in different charges and addition to the strength of Appellate Assistant Commissioners cadre in other charges, it is expected that in some of the charges, the pendency of appeals would get reduced soon to the target of about 4 months workload. When that target is about to be reached and Appellate Asst. Commissioners posts become surplus in a particular charge, the Commissioner of Income-tax/Addl. Commissioner of Income-tax should immediately bring the matter to the Board's notice so that the Appellate Asst. Commissioners with very low pendencies may be asked to hold charge of ranges in the neighbouring States with a higher pendency. It may not ordinarily be possible to convert the posts of Appellate Asstt. Commissioners into Inspecting Asstt. Commissioners till the overall pendency comes down. Till such a stage is reached, the posts of Appellate Asstt. Commissioners will have to be transferred from charges with low pendency to charges with higher pendency at a suitable time.