Key Highlights
- FM urges simplifying tax procedures and speeding up refund processing for income-tax, GST, export duties.
- Direct tax officials tasked to resolve taxpayer grievances and clear 5.7 lakh pending appeals this fiscal.
Finance Minister Nirmala Sitharaman has directed the tax department to process tax refunds on time and proactively resolve taxpayer complaints. She has asked tax officers to focus on these areas and take a taxpayer-centric approach to improve service delivery and transparency.
On Monday, the finance minister presided over the conclave of Principal Chief Commissioners of Income-tax (PrCCsIT) in New Delhi.
During the conclave, the FM directed all Principal Chief Commissioners of Income Tax to prioritise and expedite the resolution of disputed tax demands pending before the faceless appellate authorities. This aims to reduce the litigation backlog and ensure timely resolution, thereby increasing taxpayer trust in the system.
The Finance Minister also directed that all departmental appeals falling below the revised monetary thresholds announced in recent policy changes be identified and withdrawn within three months.
Sitharaman urged the officers to simplify, increase transparency, and make tax compliance procedures more user-friendly for taxpayers. She underlined the value of a methodical, process-driven approach to compliance, which would eventually make things easier for taxpayers and enhance voluntary compliance in general.
Also Read: FM Sitharaman Advocates for Prompt Tax Refunds and Enhanced Services
During the meeting, the finance minister stated that there has been a 58% increase in refunds issued so far in FY26 compared to refunds issued the previous year, with Rs 23,376 crore refunds issued on account of Order Giving Effects and Rs 10,496 crore refunds issued on rectification so far in FY26.
She was also informed that 1,31,844 of the total 160,229 grievances for FY26 had been resolved (up to June 17, 2025), accounting for 82.28% disposal. The meeting was also attended by Arvind Shrivastava, Secretary, Department of Revenue, Ravi Agarwal, Chairman CBDT, CBDT members, and CBDT senior officers.