PPT ON

INCOME TAX AUTHORITIES AND

POWERS

Submitted by:

Shreya bansal

Roll no:43

Madhu

Roll no:28

INTRODUCTION

The government of India has organized a number of authorities to execute the income tax act and to administer the income tax department efficiently.The central board of direct taxes is the apex body in the direct tax setup. it perform variousStatutory functions under the varies act and is responsible for formulation and implementation of policies relating to direct tax administration the board consist of a chairman and six members.

The CBDT has attached offices under the directors general of income tax. D.G(administration ), new Delhi ; D.G(vigilance),new Delhi; D.G(systems),new Delhi; D.G(international taxation),new Delhi; D.G(research), new Delhi; D.G(training),Nagpur; D.G(exemption),Kolkata;

WHO ARE INCOME TAX AUTHORITIES…??? (SEC-116)

The central board of direct taxes. directors general of income tax. Directors of income tax or

commissioners of income tax. Deputy directors of income tax or

deputy commissioners of income tax. Assistant directors of income tax or

assistant commissioners of income tax.

Income tax officers.

Tax recovery officers.

Inspectors of income tax.

Additional directors of income tax.

Joint directors of income tax and joint commissioners.

ASSESSING OFFICER [SEC-2(7A )]

An assessing officer means the assistant commissioner or deputy director or deputy commissioner or assistant director or the income tax officer who is vested with the relevant jurisdiction by virtue of directions or orders issued by the central board of direct taxes.

APPOINTMENT OF INCOME TAX AUTHORITIES(SEC-117)

central government

board and other high authorities.

appoint executive and ministerial staff.

CONTROL OF INCOME TAX AUTHORITIES (SEC.118)

The board controls the income tax authorities . It may notify that any income tax authority will be subordinate to such other income tax authority or authorities as may be specified in the notification.

CENTRAL BOARD OF DIRECT TAXES (CBDT)

Since 1st January 1964 the central board of direct taxes (CBDT) has been charged with all matters relating to various direct taxes in India and it drives its authority from central board of revenue act 1963.

POWERS OF CBDT Instructions to subordinate authorities. Orders issued by way of relaxation of

certain provisions under section 119 part 2(a).

Orders giving extension of time limit sec-119 part 2(b).

Orders giving relaxation for claiming deduction sec-119part 2(c).

DIRECTOR GENERAL/CHIEF COMMISSIONER OF INCOME TAX Appointment :-By central government

Jurisdiction :-Determine by CBDT.

Functions :-CBDT assigns functions by general or special order.

Powers:- Exercised powers of an assessing

officers. Appoint income tax authority below the

rank of assistant commissioner. Make enquiries on investigations in to

concealment sec-131part 1a. Giving instruction to income tax officers

sec-119 part 2. Power of survey sec-133a. Power to make enquiry sec-135.

COMMISSIONERS/DIRECTORS OF INCOME TAX Appointment :-By central government.

Jurisdiction:-Determine by central board of direct taxes.

Functions:-The board assigns functions by general of special order.

Powers:- Commissioners may exercise powers of

an assessing officers. Power to transfer any case from one or

more assessing officer to any other assessing officer.

Grant approval for an order issued by the assessing officer.

Prior approval is required for reopening of an assessment.

Power to revise an order passed by an assessing officer.

DEPUTY COMMISSIONER/ASSISTANT COMMISSIONERS OF INCOME TAX Appointment:-By central government.

Jurisdiction :-determine by central board of direct taxes.

Functions:-The board assigns functions by general of special order.

Power:-

Power to exercise powers of an assessing officer.

Cancel registration of a firm. Power to issue instructions to assessing

officers.

JOINT COMMISSIONER Functions:-Detect tax evasions and supervise subordinate officers. Powers :- Accord approval to adopt fair market value

as full consideration sec-52. Instructions to income tax officers sec-119

part 3. Exercise powers of income tax officers

section 125A. Power to call information sec-133. Power to inspect registers of company sec-

134. Power to make enquiry sec-135.

ASSISTANT COMMISSIONER/INCOME TAX OFFICER

Jurisdiction:

Determination of CBDT. Instructions by director general. Concurrent jurisdiction. Disputes regarding jurisdiction. Jurisdiction not to be disputed.

Powers:

Powers of search and seizure

Power to call information

Power of survey

Power to inspect registers of companies

INCOME TAX OFFICERS Class 1 service- appointed by central

government. Class 2 service- appointed by

commissioner of income tax. Powers, functions and duties of income

tax officers.

INSPECTORS OF INCOME TAX Appointed:-By the commissioner of income tax.

Functions:-May be assigned to them from time to time either by the commissioner or by the authority under whom they are working.

TAX RECOVERY OFFICERS [ SEC.2(44)] means any I.T.O. who may be Authorised by the chief commissioner or commissioner, by special or general order in writing, to exercise the powers of a tax recovery officer .The tax recovery officer may also exercise or perform such prescribed powers and functions which are conferred on, or assigned to an assessing officer.

The authorities can exercise these powers when due to the information in their possession; they have firm reasons to believe:

Any person to whom a summon or notice have been or might be served, has failed or would not produce the books of accounts or other document as called for.

Any person is in possession of money, bullion, jewelry or such property which has not been disclosed.

The tax payer has the following rights in any case of search-

Examining the search warrant which must be clearly specify the name of the party to be searched and be duly signed by the officer. The search warrant issued in the name of the firm cannot be used  seize assets of individual partners.

Calling two or more respectable inhabitants of the locality to act as witnesses.

Verifying the identity and make personal search of each member of the search party.

Calling a doctor in case of emergency. Inspect seals placed on various objects Inspect and take photocopies of the seized books of

account and documents.

DISCLOSURE OF INFORMATION REGARDING ASSESSES TO CERTAIN AUTHORITIES (SECTION 138)

The Board or any other authority so authorised by Board, may furnish or cause to be furnished any information which the income tax authorities have obtained while performing their duties to any officer, authority or body performing any function under any law relating to imposition of tax, duty or in foreign exchange dealings or any other authority so notified.