689/CBDT. - Income Tax - 689/CBDT

INSTRUCTION NO. 689/CBDT Dated : April 27, 1974 The C AG desires that for the purpose of reporting the Income-tax arrears in the Audit Report, the following formula should be adopted:- Total gross demand of tax outstanding on 31st March of the year. Less demands, the payment of which fell due after 31st March of the year. Balance:- Effective arrears of tax as on 31st march. 2. After careful consideration, the Government has decided to agree to give the position of arrears to the C AG according to the above formula with effect from financial year 1974-75. While giving these figures to the Accountants General, a note should be given explaining why a large amount out of the effective arrears arrived at as above, cannot be recovered for reasons such as, (i) amounts awaiting adjustment/verification, (ii) amounts for which stay has been granted and (iii) the amounts for which instalments have been granted. The amounts under each of these heads should also be indicated. 3. However, the break-up of arrears should be continued to be furnished to the D.I.(RS P) in the existing proforma. 4. For giving reply to Parliament Question the net arrears should be continued to be furnished to the DI(RS P)/Central Board of Direct Taxes, as the case any be, in the following manner:- Gross demand outstanding as on a particular date: Less: (i) Amounts not fallen due. (ii) Amounts awaiting adjustment/verification. (iii) Amounts for which stay has been granted. (iv) Amounts for which instalments have been granted. Balance: Net arrears.