Intelligence wing-functions. - Income Tax - 1365/CBDT

INSTRUCTION NO. 1365/CBDT Dated: November 27, 1980 It has been brought to the notice of the Board that large number of tax evasion files where cases have been started several years earlier and where no useful role could be played by the intelligence wing have been entrusted to the DDIs for routine follow up action in several CsIT charge 2. Attention in this regard is invited to Boards Instruction No.1079 dated 21-7-77 wherein the following functions have been narrated for performance by the Intelligence wings:- a) collecting information regarding tax evasion. b) Assisting the Commissioners in organising search seizure operations c) Processing fraud cases for prosecution. 3. In the above mentioned instructions it was clearly mentioned that all anonymous pseudonymous petitions should be handled by the CITs only. These instructions had further laid down that the CIT may have the necessary enquiries made by the Intelligence wings:- a) where he feels that the allegations are specific the quantum of concealment is likely to exceed Rs.10 lakhs at Bombay, calcutta, Madras, Delhi, Ahmedabad Kanpur and Rs.5.lakhs at other places. b) Where the ITO in the normal course may not be able to develop the case adequately. 4. The instructions of the Board clearly lay down the circumstances in which the CIT can entrust the enquiries to DDI(Int). However as mentioned above, it has been noticed that the intelligence units are being utilised as part of the H.qrs for routine work follow up action. This should be avoided. The follow up work should be that of the Assessing ITO or the ITO C.I.B. 5. You are therefore requested to call back all the files from the intelligence units where the files have been entrusted to them for follow up action with the field authorities. Intelligence units should be utilised only for the performance of duties specified at a) and b) of para 2 above. A compliance report of the action taken in the matter should be sent to the D.I.(Inv) positively before the 15th December, 1980.