Certain sections of the press have been carrying news reports that Income Tax Department is going to arrest wilful defaulters of tax.

In this regard, it is clarified that no such statement has been authorised by the Income-tax Department. Though the provisions for arrest and detention by the Tax Recovery Officers in respect of the non-compliant tax defaulters are contained in the Income-tax Act, these are used extremely sparingly.

Arrest and detention powers: clarifies Income-tax Act provisions exist but are used sparingly; press claims unauthorized. Clarifies that press reports announcing arrests of wilful tax defaulters were unauthorised; the Income-tax Act provides for arrest and detention by Tax Recovery Officers for non-compliant defaulters, but those powers are exercised extremely sparingly.