CBDT to expedite sub-?50,000 tax refunds not selected for scrutiny
December, 08th 2015
If you are waiting for your income tax refund, it may be processed soon. The income tax department has decided to refund all claims of less than ?50,000 at the earliest.
The Central Board of Direct Taxes (CBDT) has asked all field offices to expedite processing of all refund claims involving less than ?50,000, where the income tax returns have not been selected for scrutiny.
“While reviewing the pendency of refunds, the Revenue Secretary has directed that refunds for cases not selected under CASS (Computer Assisted Scrutiny Selection) and involving refund of less than ?50,000 for the assessment years 2013-14 and 2014-15 may be issued as early as possible,” said a recent missive by the CBDT.
“The status of outstanding refunds was reviewed recently…This initiative is expected to significantly reduce taxpayer grievances and enhance the taxpayer satisfaction,” said a Finance Ministry release on Monday.
15 lakh pending claims Nearly 15 lakh such claims are pending with the income tax authorities at present.
The move, which could involve an outgo of as much as ?5,469 crore, comes at a time when the CBDT may be facing a potential shortfall in direct tax collections.
According to official data, as many as 2.07 lakh returns involving claims of ?659 crore for the assessment year 2013-14 and another 12.90 lakh claims involving ?4,837 crore for assessment year 2014-15 were pending for processing and issue of refunds on November 1, 2015. These cases have also not been selected for scrutiny under the CASS .
Tax refunds tend to impact the net tax collections. Net direct tax collections between April and October 2015 amounted to ?3.44 lakh crore, registering a growth of 13.2 per cent against the corresponding period last fiscal.