MENU
About Us
About Us
Our Mandate
Disclosure
Our Offices
State Level Offices
Central Audit Offices
Training Institutes
Audit Reports
Accounts
Resources
Contact Us
Working with Us
Contact Us
Media Centre
Others
CoRE
International Relations
Grievances
Employee Corner

Audit Reports

Audit Reports

Go Back
Performance
Indirect Tax

Report No. 46 of 2015 - Performance Audit on Working of Automation of Central Excise and Service Tax Union Government, Department of Revenue - Indirect Taxes

Date on which Report Tabled:
Fri 18 Dec, 2015
Date of sending the report to Government
Government Type
Union
Union Department
Indirect Tax
Download Report
Sector -

Overview

We conducted the Performance Audit to seek an assurance whether the objectives of Automation of Central Excise and Service Tax (ACES) framed by thedepartment have been achieved. We also examined the extent of utilisation of ACES in the field formations of the Board. The Performance Audit was conducted in 40 selected Commissionerates apart from the office of the Directorate General of Systems and Data Management.

The Performance Audit revealed certain inadequacies both of system as well as compliance issues relating to the working of ACES.

  • There was no provision in ACES for selection of returns for detailed scrutiny on the basis of in built risk parameters. Further, no time limit for review of marked returns was inserted in the Return module.(Paragraphs 2.1.3 and 2.1.4)
  • There was no provision in ACES to upload/attach any documents and also no provision for digital signature. (Paragraphs 2.1.6 and 2.1.8)
  • The role of legal, adjudication, preventive/anti evasion wing etc., were not mapped in 33 Commissionerates out of 40 selected Commissionerates and also no access provided to Inspector level officials. (Paragraphs 2.2.3 and 2.2.4)
  • d. We observed that only three modules (Access Control Logic, Registration and Return) out of the ten modules in ACES are being utilised by the stake holders. (Chapter 3)
  • We observed that a large number of returns for Central Excise and Service Tax are being marked for Review and Correction due to small errors which can be addressed by having proper/strong validations. (Paragraph 3.3.3)
  • We observed that non‐conducting of trainings, seminars/workshops is one of the main reasons for skewed utilisation of ACES. (Paragraphs 4.1 and 4.2)
  • We observed that even after five years of implementation of ACES, no post implementation review of ACES was carried out.

Download Audit Report