Tax evaders beware -- the revenue department is set to increase the number of income tax returns taken up for scrutiny this year.

According to officials in North Block, the reason for this is two-fold. First, the number of cases picked up for scrutiny is still around one per cent, which is just 50 per cent of the department's intended target of 2 per cent using the computer assisted scrutiny selection procedure.

The department has even been criticised by the Comptroller and Auditor General for undertaking less cases for scrutiny and managing the process manually.

A second reason is the increase in realisation against demands raised by the department from the cases picked up for scrutiny.

The department mopped up Rs 15,632 crore (Rs 156.32 billion) during 2004-05 from its demand after the scrutiny of cases, compared with Rs 10,610 crore (Rs 106.10 billion) the previous year.

According to data compiled by the department, there were a total of 2,10,866 returns taken up for scrutiny during 2004-05. In these cases the department raised a demand for Rs 47,565 crore (Rs 475.65 billion) against which the actual realisation was Rs 15,632 crore (Rs 156.32 billion).

During 2003-04, the total number of cases scrutinised was 1,97,390, of which a demand worth Rs 43,226 crore (Rs 432.26 billion) was raised. Of this the department realised Rs 10,610 crore (Rs 106.10 billion).

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