The Supreme-Court constituted Special Investigation Team (SIT) on black money has asked for a 'videography' of income-tax searches to enable the process to deal with harassment complaints of persons under probe scanner.
"Whenever income-tax raids are conducted/carried out, it should be video-graphed because on occasions allegations of harassment are made and thereafter admissions made by the concerned persons are denied," the SIT said in its report submitted to the apex court. The report said, "In case, of videography such claims shall stand falsified."
The SIT has also questioned the calibre and training of income tax officials in states, noting that modern methods of scientific management "have not yet touched" the tax administration. "The calibre and training of the average run of officials in tax departments of states and local authorities are much below par, if one keeps in view the requirements of a modern system of tax administration which has to be efficient, effective and acceptable," the SIT said.
The SIT asked for initiation of steps to improve the tax administration and to tighten and bolster penal provisions for tax evaders. "Another major change to be brought about is to make the system more officer-based than clerk-based, which should be possible once computer technology is introduced," said the report. The current system of "door-to-door surveys" should be further strengthened with "statutory backing", it said.
The SIT has directed the Central Board of Direct Taxes to look into the audit observations of the Comptroller and Auditor General about losses to the exchequer and try to realise the amount "in each case where audit has made its observations of loss of revenue."