60% of allocated cases settled in a year using faceless tax assessment

Central Board of Direct Taxes (CBDT) chairman P.C. Mody said that after the faceless assessment scheme was rolled out in August 2020, the Income Tax department has settled about 1.15 lakh assessment orders or nearly 58% of the cases allocated for such resolution.

According to him, after the scheme was launched, 57,985 legacy cases and 1,36,001 new cases were allocated in faceless assessment scheme. Out of these, 46,822 legacy cases and 59,552 new cases have been disposed of.

Mody said, “Where there was a case to raise tax demand, it was done and where there was no need to raise demand, no tax claim was made.”

He further added that in these cases, additional tax demands were there only in around 8% of the cases, (against 60% during the earlier system) that involved personal interface and resultant element of subjectivity. The amount involved in tax disputes were over 11 lakh crore in FY19 end, as per official data, up 23% over the year-ago level; the Centre’s gross tax receipts in FY19 was Rs. 20.8 lakh crore.