The Central Board of Direct Taxes is intensifying efforts to collect Rs 2.57 lakh crore in confirmed tax dues this fiscal year. Special teams will focus on the top 10,000 high-value pending cases across the country in FY27, as per officials from the tax department speaking to NDTV Profit. Technology-driven methods involving artificial intelligence, data analytics, and digital forensics will be employed for tax recovery and compliance monitoring.
Moreover, recovery teams may utilize the CERSAI mortgage and asset database to locate properties and secured assets associated with defaulters. The tax authorities will keep a close watch on leading advance-tax payers to prevent misuse of exemptions and deductions. In the previous fiscal year, the CBDT resolved 2.24 lakh appeals related to disputed demands amounting to Rs 8.27 lakh crore.
During FY26, the number of pending appeals decreased from 5.40 lakh to 4.95 lakh, with instructions given to officers to prioritize recovery from non-compliant taxpayers. The direct tax collection target for FY27 is set at 26.97 lakh crore according to the Budget 2026. Despite a moderate year-on-year increase in India’s direct tax collections in FY26, reaching Rs 23.4 lakh crore based on provisional data, it fell short of the government’s Revised Estimate by about Rs 81,000 crore due to changing macro-economic conditions.
Chief Commissioner of Income Tax (IT & TP) Nirupama Kotru mentioned that the newly implemented Income Tax Act 2025 has simplified India’s tax system, making it more understandable and user-friendly for taxpayers. The reforms aim to assist individuals in filing returns independently and reduce reliance on tax professionals for basic compliance.
