Judicial Backlog Crisis: ₹6.85 Lakh Crore Pending in Tax Tribunals 

Judicial Backlog Crisis: ₹6.85 Lakh Crore Pending in Tax Tribunals

Chief Justice B.R. Gavai revealed a massive crisis in tax litigation, stating that cases involving disputed tax demands totaling an estimated ₹6.85 lakh crore are currently pending resolution across various tax tribunals in India.

Key Points of the CJI’s Statement

• Scale of the Pending Demand: The reported figure of ₹6,85,000 crore (₹6.85 lakh crore) represents the staggering amount of revenue locked up in disputes awaiting adjudication at the tribunal level, encompassing both direct and indirect tax matters.
• Impact of the Backlog: The massive backlog severely hampers the government’s ability to recover crucial revenue and creates significant uncertainty for businesses and taxpayers. It underscores a major challenge for India’s judicial and financial administration systems.
• Call for Resolution: The statement, likely made during a public address or conference, is intended to highlight the urgent need for judicial and administrative reforms, including filling judicial vacancies, strengthening the appellate structure, and simplifying tax laws to expedite the resolution of these high-value disputes.
• Judicial Observation: The CJI’s observation brings national focus to the systemic issue of delayed justice in the specialized tax judiciary, affecting the ease of doing business and overall compliance climate.