MP demands to address 5 lakh pending cases before CIT Appeals in RS

Ludhiana, August 7

RS MP from Ludhiana Sanjeev Arora while speaking in the ongoing session of the Rajya Sabha recently urged the government to address huge pendency of cases before the Commissioner of Income Tax (CIT) Appeals across the country.

Arora expressed concern regarding the significant backlog of appeals pending before the Commissioner of Income Tax (CIT) Appeals in the country.

He said the current situation was worrisome, as of April 2024, a staggering number of five lakh appeals remain unresolved with the CIT and the majority of these were lodged within the recent implemented faceless appellate system.

He pointed out that the immense backlog raises serious questions about equity and fairness within the tax system. He said in the past financial year, only 61,311 cases (around 12 per cent) were resolved.

“And I am sure an equal number must have been filed also,” the MP said.

To address the critical situation, he urged the minister concerned to consider certain measures in the future.

Arora suggested to enact appropriate legislation to enforce stricter time limits on CIT Appeals for their disposals.

He said the current advisory limit of one year was insufficient, adding that it was an advisory limit but it was not being adhered to.

He also suggested to introduce measures to provide relief to taxpayers, waiving the requirement of 20 per cent prepayment before filing an appeal.

Arora also suggested to refunding excess tax recovered during prolonged delays, granting automatic stay on penalties and prosecution for appeals exceeding the specific time frame.

He said the current pendency crisis discourages taxpayer compliance and undermines the integrity of the tax system. Arora hoped that taking swift action through these proposed measures would ensure a more efficient, fair and transparent appellate system. — TNS