Monetary limits in respect of publishing names under section 287. - Income Tax - 1085/CBDT

INSTRUCTION NO. 1085/CBDT Dated : August 10, 1977 Section(s) Referred: 287 Statute: Income - Tax Act, 1961 Reference Instruction No.58 (F.No.1/1/69-IT(B), dated 9th June, 1969 on the above subject and to say that the question of revising the monetary limits in respect of publishing names under section 287 was examined by the Government. It has been decided that the existing monetary limit of Rs. 1 lakh for tax defaulters in the cities of Bombay and Calcutta should be increased to Rs.5 lakhs and the limit of Rs.25,000/- prescribed for other charges should be increased to Rs.1 lakh. It has also been decided to simplify the publication work by publishing the list only in one part instead of in the three existing parts. The list would now contain the names of tax defaulters from whom tax has been due for a period of two years or more at the end of the financial year for which the list is published. 2. At present, the lists are published after the decision of the appeal by the Appellate Assistant Commissioner or the Income-tax Appellate Tribunal or after the time for filing the appeals to these authorities has expired. It has been decided that in future a name would be included in the list only after the disposal of the revision petition by the Commissioner of Income-tax under section 264 or an application under section 273A or the disposal of the application filed before the Settlement Commission by an assessee under section 245C(1) if such a petition/application is pending at the end of the financial year in which the name is otherwise fit for inclusion. 3, Accordingly, an order F.No.385/63/73-IT(B) dated 10.8.77 in supersession of earlier order on the subject, F.No.1/1/69-IT(B) dated 9.6.69 has been issued. A copy of the same is printed below. 4. While publishing names of tax defaulters it has been decided to invite the public to furnish details of the assets and investments of the tax defaulters by putting in a separate advertisement, though in the same issue of the newspaper in which the names of the tax defaulters are published. Such advertisement should not be published below the list of the defaulters published in terms of section 287 of the Act and should, therefore, appear as a separate advertisement in the newspaper, The language of the advertisement will be as under:- "Information by the public regarding assets and investments, if any, held by the tax defaulters in their own names or in those of their dependents or benamidars may please be furnished, in confidence, to the Commissioner of Income-tax concerned. 5. Immediate action may, therefore, be taken to publish the names of assessees in the Gazettee of India as well as in important local newspapers (one leading English daily and two leading vernacular dailies) on the basis of the said order of the Government. 6. A copy of the list should also be placed on the Notice Board of the Income-tax Office. In multi-Commissioners' charges, a single publication in respect of all the Commissioners may be issued by the commissioner of Income tax-I at that place though the administrative responsibility for the accuracy of the information will continue to be of each of the respective commissioners. 7. The list for the financial year 1976-77 may be published by 30.9.77. For each subsequent year, it may be published by the 30th June following the close of the said financial year. Two copies of the list published may be sent to the DI(P PR) who will keep a watch over these publications and ensure that the dead-line fixed for the purpose is strictly adhered to . That Directorate will forward a copy of each of these lists to the Board within a month of the date prescribed for publication. 8. It may please be ensured that the lists do not include the names of the following corporations etc.: 1. The Industrial Development Bank; 2. State Finance Corporations; 3. Refinance Corporation Ltd. (now defunct; 4. I.C.I.C.I. Ltd; and 5. Any other banking company or Finance Corporation. 9. In this connection attention is also invited to the DI(RS P), New Delhi's letter No.8/RSP/65/3223 dated 16th July, 65 addressed to all commissioners of Income-tax. The amounts in default should be worked out having regard to the following: (i) In cases where the assessees have filed appeals before the Appellate Assistant Commissioner or the Appellate Tribunal or revision petition under section 264 or an application under section 273A to the Commissioner of Income-tax or an application to the Settlement Commission under section 245C, the names should be published only after orders are passed by the appellate authority and those are given effect to. (ii) While determining the amount of tax in default, the amount covered by: (a) stay orders granted by the appropriate Income-tax authorities/courts. (b) refunds due as a result of appellate orders, rectifications, revisions; and (c) advance tax paid but awaiting adjustment in the books of the Accountant General; Which are, therefore, not recoverable at the end of the financial year, should be excluded. (iii) in order to allow a reasonable time to the defaulters in paying of the outstanding taxes only the names of those defaulters who do not pay their dues within two months of the appellate orders need be published. If any assessee pays the amount before the list is sent to the Press his name should be deleted from the list.