CBDT orders tax officials to not issue scrutiny notices to taxpayers

Move comes after a group of IRS created panic and tax policy uncertainty

After rejecting “ill-conceived” suggestions by a group of Indian Revenue Services (IRS) officers, the Central Board of Direct Taxes (CBDT) directed officials not to keep any communication with assessees or issue scrutiny notices to them without the board’s approval.

According to it, any such notice would have an “adverse effect” on the assessees amid the coronavirus (Covid-19) pandemic.

These directives are part of the interim action plan for the first quarter (April-June) prepared by the direct tax board. It highlights certain areas which need immediate attention and preparedness until normalcy returns. 

The move comes at a time when the tax department faced widespread