Collection of arrears of surtax, - Income Tax - 573/CBDT

INSTRUCTION NO. 573/CBDT Dated : July 24, 1973 Reference is invited to Board's Instruction No.560 dated the 22nd June, 1973 on the subject of collection of arrears of surtax, wherein various steps have been spelt out and reports prescribed for expediting the collection of arrears of surtax. 2. In view of the position that surtax is levied only on companies who have a high rate of profitability (and a relatively better capacity to pay taxes) the mounting arrears of surtax is bound to engage the attention of members of Public Accounts Committee in the forthcoming meeting which is scheduled to be held in the first week of September. Arrears of surtax stood at Rs.958 lakhs on 28.2.1973 as against Rs.451 lakhs as on 31.3.1972. It will be hard to explain to the Public Accounts Committee this unprecedented increase in the arrears. In view thereof, it will be necessary, to have a break-up of surtax arrear demand as on 31.3.1972 as well as 31.3.1973, in the proforma printed below. The reasons for the sharp rise in the arrears of surtax as on 31.3.1973 may please also be indicated. 3. While the information required by Board's Instruction No.560 may be communicated in the form and by the due dates prescribed therein, the information required in para 2 above must be sent to Board by 10th August, 1973 positively.