Checking of tax calculations by ITOs. - Income Tax - 233/CBDT

INSTRUCTION NO. 233/CBDT Dated: October 23, 1970 Reference is invited to the boards instructions contained in their letter of even number dated 3-9-69 regarding the checking of tax calculations by ITOs in cases where the income assessed is Rs.1 lakh or more. 2. The PAC were surprised to see the large number of cases with total income exceeding Rs.1 lakh commented on in the Audit report 1969 in which the ITOs had failed to check tax calculations. At para 1.34 of their 117th report they have desired that the board should take a serious view of such lapses. 3. In an earlier letter F.NO.36/40/67-IT(Audit) dated 31-12-68 the board have already instructed the CsIT that a serious notice should be taken of any ITOs failure to personally check tax calculations of Income tax in the cases where the total income is Rs.1 lakh or over. They believe that the lapses noticed in past years will not be repeated and that the responsibility of checking tax calculations will not to be sought to be avoided on the untenable plea that it is the job of the Tax calculation cell in a functional range. The D.I.(I.T. Audit) is being asked to suggest what credit in terms of units of disposal should be given to the ITO checking tax calculation in such cases. 4. The board feel that the Head clerks and supervisors also have not been exercising proper check on tax calculations as required under the Boards instructions contained in chapter XII para 22 (xvii) of the office manual section II. They desire that any lapses on their part also should be suitably dealt with.