In a bid to reduce Government litigations, the Central Board of Indirect Taxes and Customs ( CBIC ), the apex body of indirect taxes in India has decided to introduce a monetary limit of Rs. 2,50,000 in case of litigations filed by the revenue before the Commissioner (Appeals) in matters relating to excise and service tax laws.
An instruction in this regard has been sent to the higher officials of the Board.
“This limit would apply for legacy matters only and would also be applicable to cases currently pending at the level of Commissioner (Appeals) as well,” a CBIC missive said.
The Budget proposed in February this year provided for effective actions for reducing the burden of litigations.
Withdrawal process in respect of pending cases in Commissioner (A), will follow the current practice that is being followed in the withdrawal of Departmental cases from the CESTAT and HC. The monetary limit shall be determined as per the Instruction dated 17.08.2011. All other terms and conditions of concerned earlier instructions apply.
The instruction also amends the earlier instructions dated 04.04.2018 by withdrawing the words “and Section 131BA of the Customs Act 1962”.
The Board also introduced a format in the MPR for reporting upon the action taken in this regard since withdrawal of Departmental Appeals is a long drawn activity requiring routine monitoring. Details of the said cases should also be available in a separate register for further perusal by the Board as and when required.
The Board has invited suggestion/comments from field formations on Reduction of Government litigations before 21st May.
