HRD E-office File No.:C-18011(S)/43/2023-V&L-II (Comp. No.
55251/2003
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
Directorate of Income Tax
(Human Resource Development)
*****
New Delhi, Dated 27.06.2025
OFFICE MEMORANDUM
Sub: Implementation of judgement of Hon'ble High Court of Mumbai dated 08.12.2023
passed in WP No. 9649/2012 arising out of order of Hon'ble CAT Mumbai Bench
passed in OA No. 86/2008 dated 17.01.2012.
Consequent upon the acceptance of the recommendations of the 5th Central Pay
Commission (CPC) and the implementation thereof w.e.f. 01.01.1996, the Income Tax
Inspectors and Income Tax Officers were initially placed in the pay scales of ₹5500-9000 and
6500-10500, respectively. Subsequently, as per the Office Memorandum dated 21st April
2004 issued by the Department of Expenditure (DoE) under F.No.6/37/98-IC, and the CBDT's
letter dated 22.04.2004 issued under F.No. A-11015/59/2002-Ad.VII, the pay scales of the
posts of Income Tax Inspectors and Income Tax Officers under CBDT were revised to 6500-
10500 and 7500-12000, respectively, w.e.f. 21.04.2004, i.e., the date of issue of the
aforementioned OM of the DoE.
2. Aggrieved by the OM of the Department of Expenditure (DoE) dated 21.04.2004, the
Income Tax Gazetted Officers' Association filed an Original Application (OA) before the Hon'ble
CAT, Mumbai Bench, vide OÀ No. 86 of 2008 dated 31.01.2008, praying that the OM dated
21.04.2004 issued by the DoE may be modified so as to take effect from 01.01.1996 notionally
for the purpose of pay fixation, and that the actual payment of arrears of salary be effected
from the date of the said OM, i.e., 21.04.2004. The Hon'ble CAT, vide order dated 17.01.2012,
allowed the OA, fixing the date of upgradation of pay scales as 01.01.1996 on a notional basis.
3. The order of the Hon'ble CAT dated 17.01.2012 was contested by the Department by
filing Writ Petition No. 9649 of 2012 before the Hon'ble High Court, Mumbai. The Hon'ble
High Court, Mumbai, while considering the recommendations/report of the Anomaly
Committee constituted by the CBDT in compliance with the directions of the Hon'ble High
Court, Kolkata, in W.P. (C.T.) No. 21 of 2015 on an identical issue, proceeded in the matter. The
recommendations of the said Committee were accepted by the Government of India, and a
communication to this effect was issued vide letter dated 22.09.2023. Keeping in view these
facts, the Hon'ble High Court, Mumbai, vide order dated 08.12.2023, has directed that:
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