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of <h1>Central Govt Officers Must Recompute Tax Deductions on Arrears by Nov 20, 1997; Non-compliance Leads to Penalties.</h1> The circular addresses the issue of tax deductions from additional pay, allowances, and arrears for Central Government employees following the 5th Pay Commission's recommendations. It highlights non-compliance by drawing and disbursing officers who have inadequately deducted taxes on arrears, violating the Income-tax Act. These officers are instructed to recompute and recover the correct tax liabilities by November 20, 1997, and ensure payment to the Central Government. Failure to comply will result in interest charges and other penalties under the Income-tax Act. The directive emphasizes strict adherence to tax deduction regulations.
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