CBDT issued Instructions related to Non- migration of PANs due to pending Refund Caging

Recently, CBDT has issued an instruction for CsIT related to non-migration of PANs due to Pending Refund caging on 13th March, 2015 under section 139A of the Income Tax Act, 1961.

In view of the issues discussed above, the following instructions are issued:

In case of presently active AOs having pending caging of the cases whose jurisdiction has been changed:

The AOs are advised to complete the caging after due verification of the records irrespective of the new jurisdiction after cadre restructuring. After completion ofthe caging, the PANcan be migrated to its new jurisdiction. However, in cases where a manual refund was already issued or present active AOdo not want to complete the pending caging process. In such scenarios, the AO can block the refund for concerned AYby following the navigation path "ITD7AST70THERS7B1ock Refund". In this regard, the following instructions are to be followed:

• Cases where caging is pending and refund has been issued manually, in such cases, a pop-up message will be displayed onto AO's "Block Refund" screen and his confirmation will be sought. On getting confirmation, system will mark such refund cases as blocked for concerned A.Y.
• Cases where caging is pending and AO verifies non-existance of any manual refunds which is also verified by the system automatically, the active AOs can block these refund cases with their remarks. With pending caging, in 'both the above scenarios, once the refund gets into blocked status for that AY., the system allows its PAN migration. The destination AO will not be able to unblock the refund cases which were blocked by adopting the procedure mentioned in 4(i)(a) above. In scenario of 4(i)(b) above, the destination AO can unblock the refund only after due verification and then can complete the caging process.

In case of presently 'OLD'marked AOs with pending caging at the AO level:

The jurisdictional CIT(if active) or CIT(CO) can migrate the PAN and in this case, the caging will also migrate to the destination AO as pending and to be completed by the destination AO after due verification of the record.

In case of presently 'OLD'marked AOs with pending caging at the Range level:

This scenario is under analysis and will be taken up separately on the basis of complaints lodged at Help desk.

In case of presently inactive AOshaving pending caging of the cases:

The respective RCCs are to identify such inactive AOs and should be marked "Y" in "OLD Flag" against them. Thereafter, the PANs can be migrated with pending refund caging as discussed in 4(ii) & 4(iii) above.

Download Instruction for detailed information (Click Here)

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