ITRA Wing deals with audit of all direct taxes levied by Central Government viz., taxes on income, wealth, interest, fringe benefits and securities transactions, in other words, the Wing deals mainly with audit of assessments completed by the Income Tax department.  In Andhra Pradesh there are 4 Chief Commissioners of Income Tax (3 at Hyderabad and 1 at Visakhapatnam) and 1 Director General of Income Tax (Exemptions).  In their jurisdiction, there are 13 assessment Commissioners of Income Tax and 1 Director of Income Tax (Exemptions).  Under each assessment Commissioner of Income Tax, there are two – three Range Offices and in each Range Office, there are 3 Dy.Commissioners/Asst. Commissioners of Income Tax (DCIT/ACIT), 2 Income Tax Officers (ITO) and 1 Tax Recovery Officer (TRO – Non assessment unit).

Thus, in Andhra Pradesh, 308 units (including Office of Director of Exemptions and 70 non-assessment units) are being audit.  These units are divided into 4 categories  as shown below:

i.	Annual units	To be audited annually
ii.	Biennial units	To be audited once in two years
iii.	Triennial units	To be audited once in three years
iv.	Pentannial units	To be audited once in five years

 

This division is being done as per norms prescribed by Hqrs. Office Direct Taxes Wing (Risk Analysis Method) once in 5 years.

Following are some of the orders which are subjected to audit:

 

i.                     Scrutiny assessments

ii.                   Summary assessments

iii.                  Refunds more than Rs.1 lakh

iv.                 Rectification orders/Penalties

v.                   Consequential orders

 

On completion of audit, Local Audit Report (LAR) is issued to the department and based on the replies furnished by the department, the cases are processed and sent to Hqrs. Office for inclusion in Audit Report(*).