The Finance Ministry has confirmed that there is ongoing monitoring at the commissionerate level conducted by both the Central Board of Direct Taxes (CBDT) and the Central Board of Indirect Taxes and Customs (CBIC) in the process of selling attached assets. The Income Tax Department employs various methods for the recovery of tax dues, including the attachment and sale of assets, a responsibility undertaken by Tax Recovery Officers in accordance with provisions outlined in the Second Schedule of the Income-tax Act, 1961.
The minister added that the CBDT regularly issues Office Memorandums (OMs) and administrative guidelines to the field formation, guiding them in the realization of tax dues through the timely sale of attached assets. Likewise, the jurisdictional Principal Commissioner/Commissioner of CBIC monitors the progress of pending court cases involving attached assets to ensure timely disposals for the recovery of government dues.
Upon finalizing the confiscation order, the Special Court facilitates the transfer of assets attached by the Enforcement Directorate (ED) to the Government of India. As per the information provided by the minister, the cumulative value of assets confiscated under the Prevention of Money Laundering Act (PMLA) and the Foreign Exchange Management Act (FEOA) stands at Rs. 16,543.95 crores. Out of this total, assets amounting to Rs. 15,183.77 crores have been returned to Public Sector Banks under PMLA, and assets worth Rs. 1,220 crores have been restituted to victims of fraud. Consequently, a grand total of Rs. 16,333.02 crores in assets has been restituted under PMLA.
The breakdown of the revenue generated is as follows: Financial Year CBDT CBIC Value (Rs. In Cr.) Value (Rs. In Cr.) 2020-21 4.2869 1.03 2021-22 27.1925 4.23 2022-23 148.6822 0.90 The minister affirmed that the Income Tax Department has successfully executed the sale of attached assets within the designated timeframe specified in the provisions of the Second Schedule of the Income-tax Act, 1961.
Likewise, officers under CBIC diligently follow the steps outlined in the Master Circular on Recovery & Write-off Arrears of Revenue, Circular No.1081/02/2022-CX dated 19.01.2022. These measures include pursuing cases in the National Company Law Tribunal/Debt Recovery Tribunal/Official Liquidator. Additionally, they promptly take actions such as appointing government valuers and conducting auctions through agencies like MMTC after the valuation process.