Key Highlights and Mandates of CBDT's Interim Action Plan for Fiscal Year 2024-25

CBDT's Interim Action Plan for Fiscal Year 2024-25

The Central Board of Direct Taxes (CBDT) unveiled its interim action plan for the fiscal year 2024-25, outlining key measures to streamline tax processes and expedite grievance redressal. Here's a breakdown of the CBDT's Interim Action Plan for Fiscal Year 2024-25:

Focus Areas:

• Identification of TDS short-payment cases: The plan emphasizes identifying potential instances of taxpayers or companies failing to deduct tax at source (TDS) on their payments. This aims to ensure complete tax collection.
• Faster appeals processing: The CBDT plans to expedite handling of taxpayer appeals against tax assessments or penalties. This aims to resolve disputes quicker and improve taxpayer experience.
• Set deadlines for clearances: The action plan mandates setting deadlines for approving tax refunds, releasing seized assets (by June 30, 2024), and finalizing compounding proposals (settling disputes with a penalty in lieu of prosecution). These deadlines aim to bring predictability and faster resolution for taxpayers.
• Audit objection resolution: The plan prioritizes resolving audit objections (queries raised by tax authorities during assessment) by June 30, 2024. This aims to avoid delays and provide clarity to taxpayers.
• Nil/Lower TDS/TCS certificates: The plan focuses on processing applications for certificates needed to claim lower or no tax deduction at source (TDS) or tax collected at source (TCS) within a month of receipt. This can improve taxpayers' cash flow.

Overall, the CBDT's interim action plan for FY 2024-25 signifies a commitment to enhancing tax administration efficiency and improving taxpayer grievance redressal.

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