A man whose matter is pending before the Mumbai income tax department, sought the department’s reply through ‘X’. He flagged the prolonged pendency of his income tax appeal, which has remained unresolved for 5 years, a situation not uncommon among Indian taxpayers.
Mr. Manoj stated “Still waiting since 2020 for my @IncomeTaxMum Income Tax appeal to be heard. ₹20 lakhs of my hard-earned NRE income is stuck. Already spent ₹3+ lakhs on this. How long do tax appeals stay pending? Is there any escalation path?”
The scale of the problem is staggering. As of April 2025, there are over 5.38 lakh appeals pending before the Commissioner of Income Tax (Appeals) [CIT(A)] and the National Faceless Appeal Centre (NFAC), according to official figures.
Many of these appeals, like Manoj’s, have been unresolved for more than five years. This prolonged pendency is not just an administrative inconvenience it has real financial consequences. The big watch brand Casio India has also been in trouble due to the non-disposal of income tax appeal which is pending before the CIT(A) for 12 years. The Delhi High Court has directed the department to expedite the disposal within 12 weeks.
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Taxpayers are typically required to deposit at least 20% of the disputed tax amount to obtain a stay on tax recovery during the appeal. For Manoj, this means ₹20 lakh remains locked with the tax department, in addition to over ₹3 lakh already spent on legal and compliance costs.
If the appeal is ultimately decided in the taxpayer’s favor, the amount is refunded with interest, but the delay itself imposes a heavy burden, both financially and emotionally on the taxpayer.
The introduction of the Faceless Appeal Scheme was intended to expedite the appeals process by eliminating physical interactions and bringing greater transparency. However, tax practitioners and professional bodies such as the All India Federation of Tax Practitioners (AIFTP) point out that the disposal rate of appeals filed before the scheme’s rollout remains sluggish.
In many instances, appellants have uploaded their submissions multiple times, only to find their cases languishing without a hearing or order. The absence of statutory time limits for CIT(A) to dispose of appeals or for assessing officers to submit remand reports further exacerbates these delays, leaving taxpayers with little recourse except to wait.
Courts across India have repeatedly expressed concern over this state of affairs. In several high-profile cases, including those before the Gujarat, Rajasthan, Bombay, and Delhi High Courts, judges have directed the tax department to expedite the disposal of long-pending appeals and, in some instances, have stayed recovery proceedings until appeals are heard.
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The Income Tax Department promptly addressed the taxpayer’s concern regarding the prolonged pendency of his appeal before the CI(A)/NFAC. In its reply, the department acknowledged the frustration caused by such delays and informed the taxpayer about dedicated grievance redressal mechanisms now available for faceless proceedings.
Specifically, the department advised that for cases handled under the Faceless Appeal, Assessment, or Penalty schemes, taxpayers can directly communicate their grievances or issues via the designated email channel: samadhan.faceless.appeal@incometax.gov.in. For Faceless penalty: samadhan.faceless.penalty@incometax.gov.in and For Faceless Appeals: samadhan.faceless.appeal@incometax.gov.in.
The words of the department reads as follows:
“We understand your concerns relate to a pending appeal you’ve filed before CIT(A)/NFAC. For cases under the Faceless Appeal/Assessment/Penalty, dedicated email channels have been established to address taxpayers’ grievances/issues. Please share your concerns with us via the said email: samadhan.faceless.appeal@incometax.gov.in”
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