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Drastic Cut in Income Tax Scrutiny Selection

Income Tax Department has drastically reduced the number of cases selected for scrutiny.

In order to facilitate better taxpayer services, the income tax department has drastically cut the number of income tax returns (ITRs) sent for scrutiny over the years. Releasing the data of how many ITRs were sent for scrutiny each year, the I-T department said in the assessment year 2015-16, 0.71% of ITRs were sent for scrutiny while in 2018-19 the number dropped down to 0.25%.

“IT Dept is changing-from just enforcement to facilitating better taxpayer services. In continuation of the same, the no. of cases selected for scrutiny has reduced drastically over the years," the finance ministry said on Twitter.

The data shows that the number of income tax scrutiny cases was 0.71% in AY 2015-16, 0.40% in AY 2016-17, 0.55% in AY 2017-18 and 0.25% in AY 2018-19. The ministry, however, did not give the absolute number of cases picked up for scrutiny during these years.

State-wise data also showed while the scrutiny as percentage of income tax returns (ITRs) filed has come down, the number of returns filed during AY 2018-19 has gone up compared to AY 2017-18.


CA. Mohamed Asharaf, FCA

+91 9447746535

auditorindia@gmail.com

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