Ministry of Finance

CBDT notifies Rule for determination of value of perquisite in respect of residential accommodation provided by employer

Dated: 19 AUG 2023

The Finance Act, 2023 brought in an amendment for the purposes of calculation of “perquisite” with regard to the value of rent-free or concessional accommodation provided to an employee, by his employer. Accordingly, CBDT has modified Rule 3 of the Income-tax Rules, 1961 to provide for the same.

The categorisation and the limits of cities and population have now been based on the 2011 census as against the 2001 census earlier. The revised limits of population are 40 lakh in place of 25 lakh and 15 lakh in place of 10 lakh. The earlier perquisite rates of 15%, 10% and 7.5% of the salary have now been reduced to 10%, 7.5% and 5% of the salary respectively in the amended Rule. This is summarised as under:

The Rule has also been further rationalised so as to compute a fair tax implication of the same accommodation being occupied by an employee for more than one previous year.

Notification No. 65/2023 dated 18^th August, 2023 has been published and is available at https://egazette.nic.in.

Press Information Bureau
Government of India
Ministry of Law and Justice

Dated: 21 JUL 2023 

Use of Technology in Judicial Institutions

As part of the National eGovernance Plan, the eCourts Mission Mode Project is under implementation for ICT development of the Indian Judiciary based on the “National Policy and Action Plan for Implementation of Information and Communication Technology in the Indian Judiciary”. eCourts project is being implemented in association with e-Committee Supreme Court of India and Department of Justice. Phase I of the project was implemented between 2011-2015. Phase II of the project extended from 2015-23.The Government has taken the following e-initiatives to make justice accessible and available for all: -

1. Under the Wide Area Network (WAN) Project, connectivity has been provided to 99.4% (2976 out of earmarked 2994) of total Court Complexes across India with 10 Mbps to 100 Mbps bandwidth speed.
2. National Judicial Data Grid (NJDG) is a database of orders, judgments, and cases, created as an online platform under the eCourts Project. It provides information relating to judicial proceedings/decisions of all computerized district and subordinate courts of the country. Litigants can access case status information in respect of over 23.34 crore cases and more than 22.21 crore orders / judgments (as on 03.07.2023).
3. Case Information Software (CIS) based on customized Free and Open-Source Software (FOSS) has been developed.  Currently CIS National Core Version 3.2 is being implemented in District Courts and the CIS National Core Version 1.0 is being implemented for the High Courts.
4. A new software patch and court user manual for COVID-19 management has also been developed.  This tool will help in smart scheduling of cases thereby enabling judicial officers to retain urgent cases and adjourn cases not urgent on cause list.   A user manual for this patch has also been issued for the ease of the stakeholders.
5. As part of eCourts project, 7 platforms have been created to provide real time information on case status, cause lists, judgements etc. to lawyers/Litigants through SMS Push and Pull (2,00,000 SMS sent daily), Email (2,50,000 sent daily), multilingual and tactile eCourts services Portal (35 lakh hits daily), JSC (Judicial Service centres) and Info Kiosks.  In addition, Electronic Case Management Tools (ECMT) have been created with Mobile App for lawyers (total 1.88 cr. downloads till 30^thJune 2023) and JustIS app for judges (19,164 downloads till 30^th June 2023).
6. India has emerged as a global leader in conducting court hearing through Video Conferencing. The District & Subordinate courts heard 1,98,67,081 cases while the High Courts heard 78,69,708cases (totalling 2.77 cr) till 30.06.2023 using video conferencing system. The Hon’ble Supreme Court of India held 4,82,941 hearings through video conferencing till 15.05.2023. VC facilities have also been enabled between 3240 court complexes and corresponding 1272 jails. Funds for 2506 VC cabins and VC equipment for 14,443 courtrooms have also been released. 1500 VC licenses have been procured to promote virtual hearings.
7. Live Streaming of court proceedings has been started in High Courts of Gujarat, Gauhati, Orissa, Karnataka, Jharkhand, Patna, Madhya Pradesh & Hon’ble Supreme Court of India thus allowing media and other interested persons to join the proceedings.
8. 22 Virtual Courts in 18 States/UTs have been operationalized to handle traffic challan cases. More than 3.26 crore cases have been handled by 22 virtual courts and in more than 39 lakhs (39,16,405) cases online fine of more than Rs. 419.89 crores has been realized till 30.06.2023.
9. New e-filing system (version 3.0) has been rolled out for the electronic filing of legal papers with upgraded features.  Draft eFiling rules have been formulated and circulated to the High Courts for adoption. A total of 19 High Courts have adopted the model rules of e-Filing as on 30.06.2023.
10. e-Filing of cases requires the option for electronic payment of fees which includes court fees, fines and penalties which are directly payable to the Consolidated Fund. A total of 20 High Courts have implemented e-payments in their respective jurisdictions. The Court Fees Act has been amended in 22 High Courts till 30.06.2022.
11.  To bridge the digital divide, 819 eSewa Kendras have been rolled out with the intention of facilitating the lawyer or litigant who needs any kind of assistance ranging from information to facilitation and eFiling.It also assists the litigants in accessing online e-Courts services and acts as a saviour for those who cannot afford the technology or are located in far-flung areas. It also aids to addresses the challenges caused by illiteracy among citizens at large. It will provide benefits in saving time, avoidance of exertion, travelling long distances, and saving cost by offering facilities of e-filing of cases across the country, to conduct the hearing virtually, scanning, accessing e-Courts services etc.
12. In addition to eSewaKendras, as part of the DISHA (Designing Innovative Solutions for Holistic Access to Justice)  scheme  the Government of India has launched Tele Law program since 2017, which provides an effective and reliable e-interface platform connecting the needy and disadvantaged sections seeking legal advice and consultation with panel lawyers via video conferencing, telephone and chat facilities available at the Common Service Centres (CSCs) situated in Gram Panchayat and through Tele-Law mobile App.
13. National Service and Tracking of Electronic Processes (NSTEP) has been launched for technology enabled process serving and issuing of summons. It has currently been implemented in 28 States/ UTs.
14. A new “Judgment Search” portal has been started with features such as search by Bench, Case Type, Case Number, Year, Petitioner/ Respondent Name, Judge Name, Act, Section, Decision: From Date, To Date and Full Text Search. This facility is being provided free of cost to all.

The eCourts Phase II formally came to an end on 31^st March 2023.For further expanding the reach of justice through digital revolution, the Government of India, in the Union Budget 2023-2024, announced Rs. 7000 crores for Phase-III of e-Courts project. Based on Detailed Project Report approved by eCommittee, Supreme Court of India, the Expenditure Finance Committee in its meeting held on 23.02.2023 has recommended eCourts Phase III with a total outlay of Rs.7210 Crore. Further, the Empowered Technology Group chaired by the Principal Scientific Advisor to the Prime Minister in its meeting held on 21.06.2023 has also recommended the eCourts Phase III for approval.

This information was given by the Union Minister of Law and Justice, Shri Arjun Ram Meghwal, in a written reply in Lok Sabha today.

Ministry of Finance

IT Department Conducts Verification of Reporting Entities

Dated: 30^th JUN 2023

The Income-Tax Department has been focusing its efforts on promoting voluntary compliance. In this endeavour, information is received about financial transactions of taxpayers from Reporting Entities, such as Banks, Forex Dealers, Sub-Registrars, etc. The information furnished by the Reporting Entities is used for display to the taxpayer, through the e-filing account, in the form of the Annual Information Statement (AIS). This is an important step towards facilitating taxpayers for filing their Return of Income accurately.

While most Reporting Entities are voluntarily complying with the statutory requirements of filing correct and complete Statements of Specified Financial Transactions (SFTs), defaults have been noticed in some cases.

Recently, the Department carried out verification of a prominent Bank based in Tamil Nadu, to address Reporting Entity compliance issues.

During the course of verification, several discrepancies were found. It was seen that the bank had not filed SFTs in certain cases and in some others, had not filed complete/accurate particulars. SFTs were not filed in respect of Cash deposits of over Rs.2,700 crore involving more than 10,000 accounts; specified Credit card payments involving total transaction value of over Rs.110 crore;  Dividend distributed of more than Rs.200 crore and Shares issued of over Rs.600 crore.

Further, SFTs already filed by the Bank were found incomplete in several respects. The bank had failed to report major transactions which included Interest paid of more than Rs.500 crore; Time deposits; Cash deposits and withdrawals in current accounts, etc.

The verification also revealed defective filing of Form 61B for Automatic Exchange of Information (AEOI) about account holders “resident” in other countries.

In the recent past too, verification was conducted by the Department on 2 cooperative banks in Uttarakhand and transactions exceeding few thousand crore, not reported by the banks, were identified.

In order to explain the legal obligations and processes, as well as to address difficulties faced by the Reporting Entities, outreach programmes are being regularly organised by the Department across the country. This is another initiative of the Department to facilitate ease of compliance.

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PPG/KMN

(Release ID: 1936490)

Second conviction in Tamilnadu & Pondicherry charge of Income Tax Department during the Financial Year 2023-24 on account of offence committed in violation of the provisions of the Income Tax Act, 1961

Dated:28 JUN 2023

The Income Tax Department (TN&P), Chennai has got the Second conviction for the financial year 2023-24 in respect of the prosecution proceedings initiated against an individual assesse for the offence committed under section 276CC of the Income Tax Act, 1961, viz., willful failure to furnish return of income.

The assesse is an individual had failed to file return of income as mandated u/s.139(1) of the Income Tax Act before the due date of 31.07.2013 or before the expiry of one year from the end of the Assessment Year despite having taxable income.

A. prosecution complaint was filed before the Hon’ble Addl. Chief Judicial Magistrate, Madurai against the assesse for wilful failure to file return of income for AY 2013-14. Shri A.Periasamy, Special Public Prosecutor represented the Department during the course of trial proceedings in the case.

The Hon’ble Addl. Chief Judicial Magistrate, Madurai has passed an order on 13.06.2023 holding the assesse guilty of the offence charged u/s.276CC of the Income Tax Act and convicted the assesse u/s.248(2) of Cr.PC. The accused individual is convicted and sentenced to Rigorous Imprisonment for a term of 3 months along with fine of Rs.5000/- and on default, to undergo simple imprisonment for one week.

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(Release ID: 1935885)

Press Information Bureau
Government of India
Ministry of Finance

Dated: 18 JUN 2023

Gross Direct Tax collections for Financial Year (FY) 2023-24 register a growth of 12.73%

The figures of Direct Tax collections for the Financial Year 2023-24, as on 17.06.2023 show that net collections are at Rs. 3,79,760 crore, compared to Rs. 3,41,568 crore in the corresponding period of the preceding Financial Year i.e. FY 2022-23, representing an increase of 11.18%.

The Net Direct Tax collection of Rs. 3,79,760 crore (as on 17.06.2023) include Corporation Tax (CIT) at Rs. 1,56,949 crore (net of refund) and Personal Income Tax (PIT) including Securities Transaction Tax(STT) at Rs. 2,22,196 crore (net of refund).

The Gross collection of Direct Taxes (before adjusting for refunds) for the FY 2023-24 stands at Rs. 4,19,338 crore as compared to Rs. 3,71,982 crore in the corresponding period of the preceding financial year, registering a growth of 12.73% over collections of FY 2022-23.

The Gross collection of Rs. 4,19,338 crore includes Corporation Tax (CIT) at Rs. 1,87,311 crore and Personal Income Tax (PIT) including Securities Transaction Tax(STT) at Rs. 2,31,391 crore. Minor head wise collection comprises Advance Tax of Rs. 1,16,776 crore; Tax Deducted at Source of Rs. 2,71,849 crore; Self-Assessment Tax of Rs. 18,128 crore; Regular Assessment Tax of Rs. 9,977 crore; and Tax under other minor heads of Rs. 2,607 crore.

The Advance Tax collections for the first quarter of the FY 2023-24 stand at Rs. 1,16,776 crore as on 17.06.2023, against Advance Tax collections of Rs. 1,02,707 crore for the corresponding period of the immediately preceding Financial Year i.e. 2022-23, showing a growth of 13.70%. The Advance Tax collection of Rs. 1,16,776 crore as on 17.06.2023 comprises Corporation Tax (CIT) at Rs. 92,784 crore and Personal Income Tax (PIT) at Rs. 23,991 crore.

Refunds amounting to Rs. 39,578 crore have also been issued in the FY 2023-24 till 17.06.2023, as against refunds of Rs. 30,414 crore issued during the corresponding period in the preceding Financial Year 2022-23, showing a growth of 30.13%.