Income-tax appeal limits may be raised to cut litigation

The CBDT is planning to increase the limit for appeals to the Income Tax Appellate Tribunal from Rs 1 million to Rs 2 million

In a move that will lead to more concentrated efforts in resolving tax litigation involving around Rs 5 trillion, the Central Board of Direct Taxes (CBDT) is planning to increase the threshold for filing appeals by income-tax (IT) authorities. The CBDT is planning to increase the limit for appeals to the Income Tax Appellate Tribunal (ITAT) from Rs 1 million to Rs 2 million. It also plans to increase limits for filing income-tax appeals in high courts and the Supreme Court from the current Rs 2 million and 2.5 million, respectively. 

“It has been observed that the threshold for filing