In an effort to boost operational effectiveness, the office of the Comptroller and Auditor General of India (CAG) on Wednesday signed a memorandum of understanding (MoU) with the Central Board of Direct Taxes (CBDT).
“Both organisations will collaborate to promote academic, training, and research interaction/co-operation in capacity development and research activities in areas of mutual interest,” the office of CAG said in a release.
The MoU was signed by CBDT Chairman Ravi Agrawal and A M Bajaj, Deputy CAG in the presence of CAG K Sanjay Murthy.
Strategic framework
On this occasion, Murthy emphasised that the signing of the MoU will significantly enhance professional co-operation and capacity-building efforts, particularly in data-driven technology, between the two departments. He said the MoU will serve as a strategic framework to bridge the skills gap between the two institutions and foster mutual growth.
The partnership will focus on a range of initiatives, including training workshops, joint seminars, sharing audit insights based on advanced data analytics, and the use of innovative methods, such as remote audits, in goods and services tax (GST) audits and other areas/sectors, Murthy added.
The CAG further said since goals of both institutions are aligned, the office of the CAG can support the CBDT in strengthening the systems identified by the latter, as CAG officials are being effectively trained in emerging technologies such as artificial intelligence and machine learning.
Audit insights
He expressed confidence that this formalised partnership will promote transparency, enhance operational effectiveness and drive regulatory changes based on audit insights, thereby contributing positively to overall financial and governance ecosystem.
CBDT Chairman Agrawal stated that the constant dialogue and training infrastructure available in the audit department will further enhance tax administration and help improve the learning curve of tax officials in the Income Tax Department.
