Do u know about income-tax authorities
Introduction – For the purpose of implementation of income-tax act successfully and efficient adminstration of income-tax department . certain income -tax authorities have been appointed by the center government .in this topic appiontment of various income-tax authority and their rights have been discussed.
Type of income-tax authorities
Two type of authorities have been appointed under income- tax act:
- Executive authorities
- Judicial authorities , Executive authority help in implementation the provisions of income-tax act effectively and in execution other adminstrative work successfully ,while the judicial authorities are appionted to settle the work related to appeal.
Various income -tax authorities (section.116)
Various types of authorities have been mentioned is section 116 of income -tax act ,there is a long list of both type of authorities – executive and judicial.the list can be put in the following points :
1: – Central board of direct taxes ,
2:- Principal director general of income-tax or principal chief commissioners of income-tax
3:- Director general of income-tax or chief commissiner of income-tax
4:- Principal director of income-tax or principal chief commissioner of income-tax
5:- Pirectors of income-tax commissioner of income tax (appeals)
6:- Additional director of income tax or additional commissioner of income-tax(appeals)
7:- Joint director of income-tax of income-tax or joint commissioner of income-tax
8:- Deputy director of income-tax or deputy commissioner of income-tax (appeals)
9:- Asstt. director of income-tax or asstt. commissioner of income-tax
10:- Income-tax officers
11:- Tax recovery officers
12:- income-tax inspector
Provisions of income-tax act regarding income-tax authorities
These provisions can be divided into four groups :
(A) Provisions regarding appointment and control of authorities ,
(B) Provisions regarding jurisdiction of authorities .
(C) Provisions regarding powers of authorities .
(D)provision regarding disclosure of informations.
(A)> provisions regarding appointment and control of authorities
1:- Appointment of income-tax authorities (section:117)
Appointment by central government .Any person may be appointment by the central government to work as income-tax officer who is fit and eligible in the eyes of central government .
The appointment of members of central board of direct taxes is also done by central government . if central government thinks suitable it may be authorised the C.B.D.T or principal director or chief commissioner of income-tax to appoint general director/chief commissioner/assistant commissioner /deputy commissioner /other subordinate authorities .all the rules and regulations shall be followed framed by central government in this connection to appoint these officers .
2:-Control on income-tax authorities (section:118)
all the income-tax authorities are controlled through .central board of direct taxes board can declare to be a subordinate of any authority by issuing a notifications .
3:-Instructions to subordinate authorities (section:119)
central board of direct taxes can authorities to issue such instructions to execute the act properly and effectively .the income-tax authorities will have to follow these instructions . the board may issue certain instructions regarding assessment and recovery of tax .
(B)>provision regarding jurisdiction of authorities
The jurisdiction of the income-tax authorities may be explained in the following point:
*Income-tax authorities can use all those rights foe which they have been instructed by central board of direct taxes .
*The board may authorities any authority to issue instructions in writing to his subordinated for the duties to be performed by them.
*the boaed may issue instructions to assessing officers jointly to settle certain cases of any special field .
*The board may issue any notification relating to filing the return of income-tax jurisdiction of any authority.
*The board may require two or more assessing officers (whether or not of the same class) to exercise and perform concurrently , the power and functions in respect of any area or classes of cases .
note: Any income-tax authority being an authority higher in rank may exercise the power and perform the functions of the income-tax authority lower in rink , if it is so directed by the board
CHANGE OF INCUMBENT OF AN OFFICER section:(129)
Whenever in respect of any proceeding under this act an income-tax authorities ceases to exercise jurisdiction and is succeeded by another who has and exercises jurisdiction income-tax authority so succeeding may continue the proceeding from the stage at which the proceeding was left by his predecessor . provided that the concerned assessee may demand that before the proceeding it so continued the previous proceeding or any part thereof be reopened or that before any order of assessment is passed against him,he should be givin opportunity of being reheard.
(C) >provision regarding powers or authorities
Generally any income-tax authorities has the following powers:
*Power relating to discovery and production of evidence.
*Power of search and seizure.
*Power to call books of accounting .
*Power to collect prescribed information :
(A): The prescribed income-tax may for the purpose of verification of information relating to any person issue a notice to such a person requiring him on or before a date to be specified therein to furnish information or documents verified in the manner specified therein which may be useful or relevant to any inquiry or proceeing under this act. (
(B): Where any information or any document has received in response to a notice issued under sub-sections (1) the presribed income-tax authority may process such information or document and make avaialable the outcome of such processing to the assessing officer .
POWERS OF CENTRAL BOARD OF DIRECT TAXES
This board was established in 1963 by central government. this board function under ministry of finance ,government of india . income-tax ,wealth-tax, expenditure-tax and administration and control of other direct taxes comes under the purview of board of direct taxes.
Central board of direct taxes in the highest authority of income-tax department .it works under ministry of finance govt. of india At present there are five members in it and one of them is the chairman of the board. the appointment of all the members are made by central government.
POWERS OF THE C.B.D.T.
Being a highest body the board has full power to control and administration of income-tax department .according to income tax act ,the following powers are given to the board .
*Control on authorities . The board by issue of notification can decide that who will remain under the control of whom authorities .
*Right of appointment. Board can appoint income-tax officers but such appointment should be authorised by the central government. (section:117(2))
*To give right of appointment. the board can give right to any income-tax authorities to appoint necessary staff to complete his work efficiently .
*Right for authorisation .
(A) . Board can authorise chief director or director to do the work of any income-tax officers which is handed over by board .
(B). Board can direct the income-tax officers to do the work of another subordinate or other authority.
(C). Board has a right to issue orders to two or more officers to work together .
*Right to frame rule section(295). as regards income-tax low , the board has a right to frame the rule to whole or a part of india . these rules are to be approved by the parliament.
*Explanation of information regarding assessees sections:(138). in the public interest if board thinks fit may provide information regarding tax fee foreign exchange about assesee so that officer may do his work efficiently.
POWER OF DIRECTOR GENERAL /DIRECTOR
*Right of appointment . director general /director can appoint income-tax officers below the rank of asstt. director provide they are authorised by central govt.
*Right of transfer the cases. director general /director can transfer any case to his subordinate one officer.
*Right to issue direction . they can issue the necessary instructions to income tax (section :119(2)).
*Right to issue order of re-assessment.
*Right to rafity of stopping tax recovery .
*Right of revision on order of assessing offers .
*Right to reduce or exempt penalty /interest.
*Right to approve of property .
*OTHER RIGHTS .
*Right to call information . (section:133)
*Right to investigate. ( section:135)
POWERS OF CHIEF COMMISSIONER OR COMMISSIONER OF INCOME-TAX
These are mainly officers of administration .chief commissioner of income-tax are appointed by central government . these are subordinate authorities of C.B.D.T.their jurisdiction of work is determined by board . they have to work according to orders ,
instructions and suggestions of the board .
POWERS OF CHIEF COMMISSIONER OR COMMISSIONER all the powers of director general are given to chief commissioner .(see heading powers to director general. )
POWER OF DEPUTY DIRECTOR DEPUTY COMMISSIONER ASSISTANT DIRECTOR ASSISTANT COMMISSIONER
they are appointment by the central govt. they work under the control of commissioner /director and their jurisdiction is decide by the commissioner .there are many deputy commissioner under one commissioner