INDIRECT TAX OMBUDSMAN SCHEME – An Overview

[Dr. Sanjiv Agarwal]

Indirect tax ombudsman scheme framed by the Central Government to provide a effective, faster and transparent grievance redressal system seeks to help taxpayers in grievance redressal leading to higher satisfaction level.

Ombudsman Guidelines – An Overview

The guidelines have been introduced with the objective of enabling the resolution of complaints relating to public grievances against the Customs, Central Excise and Service Tax Department     and to facilitate   the satisfaction and/ or settlement of such complaints. These guidelines shall be called the Indirect Tax Ombudsman Guidelines, 2011. The Indirect Tax Ombudsman Guidelines, 2011 (IDTOG) would cover all the three wings of central indirect taxes, viz

• Customs,
• Central Excise, and
• Service Tax

The guidelines provide a platform to resolve complaints that may emanate through common persons having no say in the Department dealing with indirect taxes. In the past the concept of 'ombudsman' has been made applicable to various other government departments including income-tax, electricity sector, banking sector, etc. providing machinery for satisfactory resolution of public grievances. The present Indirect Tax Ombudsman Guidelines, 2011 contain fourteen guidelines divided into five Chapters. The Ombudsman, according to the Guidelines, shall be independent of the jurisdiction of the Customs, Central Excise and Service Tax Department. He is empowered to facilitate satisfaction or settlement of complaints of taxpayers on specified matters by agreement, through conciliation and mediation between the Customs, Central Excise and Service Tax Department and the aggrieved parties or by passing an 'award' in accordance with the Guidelines. The Ombudsman shall have the powers to require the Customs, Central Excise and Service Tax Authority complained against or any other related Customs, Central Excise and Service Tax Authority to provide any information or furnish certified copies of any document relating to the subject-matter of the complaint which is or is alleged to be in its possession. Further, he shall report his findings to the Secretary, Department of Revenue, and the Chairman, CBEC for appropriate action against erring officials. The Ombudsman, however, shall not have any authority over the Central Board of Excise and Customs and Directorates under CBEC as these are attached offices of CBEC.

The complaint can be filed in writing to Ombudsman on various grounds alleging deficiency of working of officers such as, delay in issue of refund /rebate, delay in adjudication, registration and in giving effect to Appellate orders, non adherence to Rules for drawback disbursement and, delay in release of seized account books and assets and non-adherence to prescribed working hours.

The text of the Guidelines introduced with the objective of enabling the resolution of complaints relating to public grievances against the Customs, Central Excise and Service Tax Department and to facilitate the satisfaction or settlement of such complaints is available in the website cbec.gov.in, the official website of the Central Board of Excise and Customs (CBEC).

Effective Date

Indirect Tax Ombudsman Guidelines shall come intro force w.e.f. 11^th May 2011.