INCOME TAX:

Amendment of Sec. 295

Amendment of Sec. 119
Amendment of Sec. 132
AUTHORITIES Powers of CBDT
Joint Commissioner (Appeals) (w.e.f. 1.4.2023)
Amendment of Secs. 133 & 134 Search and Seizure
Power to Call
(w.e.f. 1.4.2023)
(w.e.f. 1.4.2023)
Dei atorit Information (w.e.f. 1.4.2023)
There shall be the
Tax Act: followingAPPOINTMENT
classes of incomeAND
tax CONTROL
(1) The Central Board of
authorities for the purpose of the Income
(1A) Principal Direct Taxes.
(2) Director General 3
of Income Tax t
or Principalathoiy
(Sec. 116)
(2A) Director-General Chief Commissioner of
of Income Tax or
Principal Director of Income Tax or Commissioner of Income Tax. Income Tax.
Chief
(3)Director Income Tax or
of Principal
Commissioner of Income Tax.
Tax (Appeals).
(4) Additional
Commissioner of Income Tax or
Commissioner of Income
mhe
Directors
(5) Joint Directors of
of Income Tax or
Additional Commissioners of Income Tax.
Income Tax or Joint
Commissioners of Income Tax
(6) Deputy Directors of (Appeals) Commissioners of Income Tax or
Joint
Son' Income Tax or
(7) Assistant Directors of Income Tax orDeputy Commissioners of Income Tax.
Assistant Commissioners of Inconme Tax.
25.01 (8) Income Tax Officers.
50,00 (9) Tax Recovery Officers.
300M (10) Inspectors of Income Tax.
charg POWERS OF THE CENTRAL BOARD OF DIRECT TAXES
thesa This Board is constituted under the Central Board of Revenue Act,
0rese authority of the Income Tax
1963. It is the highest
ratio Overnment of
Department and functions under the Ministry of Finance of the
India, Its menbers are appointed by the Central Government.
1,350
hembers of the Board is appointed as its Chairman. It has the following powers: One of the
Ban
V)Power to make rules : It may make rules for the whole or any part of India for carrying
h e purpose of the Act as laid down
nad
shall lay these rules before the Parliament,s295. Under section 296, the Central Government
as soon as possible after they are made, for its
all
approval. (Sec. 295)

The Finance Act, 2023 (w.e.f. Assessment Year 2023-24)

 610 INCOME TAX

The Board may make rules relating to the form of Report of Audit or Inventory
and the particulars which such Report shall contain u/s 142(2A).
issue instructions and directione
Valuation'
(2)Power to issue instructions and directions : It may
other income tax authorities for the proper administration of the Act, but it cannot issue
instruction or direction or order : (Sec. 119)
(a) requiring any income tax authority to make a particular assessment or to dispose of
a particular case in a particular manner; or
the Joint Commissioner (Appeals) o
(b) which interferes with the discretion of his appellate functions.
Commissioner (Appeals) in the exercise of
(c) The board may, for the purpose of propergeneral and efiCient management of wor
or specific orders to specifc cl
assessment and collection of revenue, issue Sec. 234F als0.
relaxation of
of income or persons, by way ofauthority to admit application : For avoiding gen
3) Power to authorise income tax may issue orders authorising any income tax authe
hardship in any case or class of cases it deduction, refund or any other relief underth
to admit an application or claim for exemption, this purpose. (Sec. 1192)
Act after the expiry of the period specified forrequirement: The Board may, for avoiding genmin
(4)Power to relax compliance ofcertain contained in sections 14 to 59 and 80A t
hardship, relax the compliance of any requirement order can be made if the following conditions
80U, for claiming deduction thereunder. The said
are satisfied :
due to circumstances beyond the
(i) The default in complying with such requirement was
control of the assessee.
before the completion ofassessment
(ü) The assessee has complied with such requirement
such deduction is claimed.
in relation to the previous year in which Government the Board may appoint
(5)Power to appoint : If authorised by the Central
Commissioner or Deputy Commissioner.
income tax authorities below the rank of an Assistant (Sec. 117(2)
(6) Power of authorisation : It may authorise an income tax authority to appoint such
it in the execution ofits functions.
executive or ministerial staff as may be necessary to assist [Sec. 117(3)
declare any institution, association or
)Power to declare company : It is empowered to [Sec. 2(17Xiv)
body as a company for any assessment year.
incomne from property held
(8} Under section 11(1)\¢) the Boardcan issue directions that
under trust shall not be included in the total income of the recipient.
the detention of books o
9) The Board may entertain applications of objection regarding
account or other documents u/s 132(10).
lorer
(10)Power to direct authority higher in rank to perform functions of authority Dreu
rank : It may authorise any Principal Director General or Director General or Principal
or Director to perform such functions of any other income tax authority as may be assigneu
him by the Board. mayifso
Explanation : Any income-tax authority being an authority higher in rank, authority
directed bythe Board, exercise the powers and perform the function of income tax
lower in rank.
or PrincipalChief
General
() It may empower the Principal Director General or Director Commissioner toissue
Commissioner or Chief Commissioner or Principal Commissioner or respect of any:specifñed
orders that the assigned the
powers and functions to in
Assessing Officer
1 The Finance Act, 2023 (w.e.f. Assessment Year 2023-24)
2 The Finance Act, 2023 (uw.e.f. Assessment Year 2023-24)
 INCOME TAX AUTHORITIES
or person or incomes or class of incomes, shall be
area 611
oran Additional Director or a Joint Commissioner exercised
(12) Concurrent jurisdiction : lt may require two or a Joint by an
Director. Additional Commissioner
concurrently. or more (Sec. 12004 Xb))
(13) Dispute regarding jurisdiction : Assessing
Officers to function
to be Where
transferred and the ASsessing Officers to the Assessing Offcers ISec. 1205))
subordinate to the same Principal Director whom the case is to frombe whom the case is
Commissioner or Chief Commissioner or General Director GeneraltransferTed
or are not
transferee authorities are not in Principal
agreement, the orderCommissioner
or
or
PrincipalandChief
(14) Authorise
of
transfer may beCommissioner
passed bythe the
authority for search and seizure :The Board.
Director or Additional Board may (Sec. 127)
Commissioner
Pegarding search and seizure w/s 132. or any Joint Director Joint authorise anyto Additional
or
Search and Seizure :
1 lhe Authorised Officer may
Commissioner take steps
(Sec. 132)
() any Police requisition the services of
(ii) any personOfficer or of any :
or entity as mayOfficer of the Central
ance with the
prescribed
be approved by Government, or of both: or
purposes specified
person ws procedure,and
or entity to comply 132(1)/(1A) PCCIT/CCIT/PDGIT/
in this regard, to DGIT, in accord
it shall be theassist him for all or any of the
9 The with such requisition. duty of every such officer Or
Authorised Officer may,
neriod of 60 days from the dateduring the course of the search or
executed, make a reference to : on which the last of the seizure or within a
(i) a Valuation
Officer referred ws
authorisations for search was
(ii) any other person or 142A; or
being in force, as may entity or any valuer registered by or
with the prescribed be approved by under any law for the time
who shall estinate the procedure. PCCIT/CCIT/PDGIT/DGIT,
fair market value of the
prescribed and submit a report of the property
in accordance
in the manner as
Assessing Officer as
receipt of such reference. the case may be, estimate to the authorised officer
may be
within a period of sixty days from the or the
3. date of
Authorisation:
for search shall be
For the purposes of Secs.
(a) in the case of deemed to have been 132(9A), (9B)/(9D),the last of
search, on the
conclusion executed:
of
authorisation
drawn in relation to any person in search as recorded in the last
issued; or
(b) in the case of
whose case the warrant of panchnama
authorisation has been
0ther documents requisition ws
or assets by the
132A, on the actual receipt of the
books of account or
The k)Order tofurnish authorised officer.
the Board may order for informationof to officer, ete. ofother department, ifit is in
functions
Or any of the furnishing
imposition of any
any informationto an ofhcer,
authority or
public interest :
body performing
other oficer or authority tax, duty or cess or dealing in foreign exchange under
DeCeSsary to enable
that officer functioning under any other law, as may be in public
or authority to perform his
FEMA
interest and
>Tax Payer's Charter functions. (Sec. 138)
The Board shall adopt
dirTheections
i such charter.
1
or
guidelines
and declare a taxpayer's charter and issue
to other income tax authorities as it may deemsuch
(Sec. 119A)
orders, instructions,
fit for the administration
Finance Act, 2023
(w.e.f. Assessment Year 2023-24)
612 INCOME TAX

POWERS OF THE DIRECTOR-GENERAL,

CHIEF COMMISSIONER AND COMMISsIONER
(1) If authorisedIby the Central Government they may appoint income tax
the rank of an Assistant Commissioner or Deputy Commissioner. authorities below
(Sec. 117(2)
(2) If authorised by the Board, they may appoint any executive or ministerial stafa
be necessary to assist them in the execution of their functions. (Sec. 117(3)1
(3) The Director-General or the Chief Commissioner or Commissioner may transfer an
case fronm one or more Assessing Officers subordinate to him to any other Assessing Officer or
Assessing Officers subordinate to him. (Sec. 127)
(4) The Director-General or the Chief Commissioner or any such Joint Director or Joint
Commissioner as may be empowered by the Board or any such Dy. Director or Dy. Commissioner
or Asstt, Director or Income Tax Officer as may be authorised by the Director-General or Chief
Commissioner may take all steps regarding search and seizure w/s 132. (Sec. 182)
(5) The Director-General or the Chief Commissioner or Commissioner or Joint Comnia
sioner shal becompetent to make any enquiry under this Act. For this purpose, he will have all
the powers that an Assessing Officer has under this Act in relation to the making of enguiries
(Sec. 135)
(6) On an application being made to the Chief Commissioner or Commissioner toBupply
such information relating to any assessee as is received or obtained by any income tax authority
in theperformance of his functions under this Act, he may, if he is satisfied that it is in public
interest to do so, order the furnishing of such information to the applicant. (Sec. 138)
(7) The Chief Commissioner or Commissioner is authorised to 8anction issue of notice for
re-assessment u/s 148 after the expiry of four years from the end of the relevant assessment
year. (Sec. 151(1))
(8) Where refund is found to be due to any person, the Chief Commissioner or Commig
sioner may order the set-off of the sum to be refunded against the sum, if any, remaining payable
tohim under this Act. (Sec. 245)
(9) If the Commissioner considers that any order passed under this Act by the Assessing
Officer is erroneous and is prejudicial to the interest of the revenue, he may pass such order
thereon as is justified including an order enhancing or modifying the assessment or cancelling
the assessment and directing a fresh assessment. (Sec. 263)
(10) In the case of any order other than the one revised under point (10) above, the
Commissioner may, either of his own motion or on an application by the assessee for revision
call for the record of any proceeding under this Act in which any such order has been passed and
after making a necessary enquiry, may pass revised order which should not be prejudicial to
(Sec. 264)
the assessee.
(11) The Commissioner may reduce or waive the penalty imposed on a person ws 2
(Sec. 273A)
(Concealment of income).
(12) The Chief Commissioner or Director-General has the power to approve the order of
reduction or waiver of the penalty imposed u/s 271(1)(c), issued by the Commissioner
amount of income concealed or amount of inaccurate income furnished exceeds (Sec.
5,00,000
273A(2b)
the
(13) Where the Assessing Officer is of the opinion that for the purpose of protecting prior
interests of revenue it is necessary to attach any property of the assessee, he has to obtain
such order.
approval of the Director General or Chief Commissioner or Commissioner for issuing:(Sec.281B)
payment
(14)The Chief Commissioner or Director General can reduce or waive interest
under sections 234A, 234B and 234C in the prescribed circumstances.
 INCOME TAX AUTHORITIES 613
15)The Director- General or the Chief Commissioner or Commissioner may order requisi-
books of account or any property which is in the
onof under any other law.
possession or custody of any officer or
(16) In the case of interest payable by the Government on delayed refunds, (Sec.
guthority where132A)
any
questionarises as to the period to be excluded for calculation of interest, such question shall be
decidedbythe Chief Commissioner or Commissioner, whose decision shall be final.
(Sec. 244A(2)]
POWERS OF JOINT COMMISSIONER,ASSISTANT DIRECTOR OR DY.forDIRECTOR
(1)TheJoint+Commissioner or Assessing Oficer shall bave: all powers to call information
undersection 133.
(Sec.within
(2) An Assistant Director or Dy. Director or an Assessing Officer can enter any place 133)
hisjurisdictionor any place occupied by any person in respect of whom he
th make asurvey and in that connection to take all necessary exercises jurisdiction,
steps after obtaining the approval
Joint Director or Joint Commissioner.
ofthe
1Ioint (Sec. 133A)
Commissioner or an Assistant Director or Dy, Director or an Assessing Officer
Mayenter any building or place within his jurisdiction or any building or place occupied by any
D9y enleenect of whom he exercises
jurisdiction, for the Act. of collecting any information
shich may be useful for or relevant to, the purpose of thispurpose
TheJoint (Sec. 133B)
Commissioner or
an Assessing Officer may inspect and take copies of any
rgister ofthe members, debenture holders, or mortgagees of any company. (Sec. 134)
B)The Joint Commissioner shall be competent to make any enquiry under this Act and for
ie nurpose shall have all the powers that an Assessing Officer has under this Act in relation
pthe making of enquiries. (Sec. 135)
6)The Assessing Officer may serve notice ws 142 or ws 148 for making any enquiry before
ASSeSSment.
(7) The Assessing Officer has the power to make an assessment under sections 143, 144
End 147.
(8) AJoint Commissioner may call for and examine the record or any proceeding in which
nassessment is pending and if he considers necessary, he may issue such directions as he
tinks fit to the Assessing Officer. (Sec. 144A)
(9) The Joint Commissioner or Assessing Officer shall have the samne powers as are vested
Da court under the Code of CivilProcedure, 1908, when trying a suit under this Act.
(Sec. 131(1)]
10)If the Assistant Director or Dy. Director has reason to suspect that any income has
Hn concealed or is likely to be concealed by any person within his jurisiction, he shall be
petent to exercise all powers under sub-section (1) of section l31. [Sec. 131(1A)]
Assessing Officer (Sec. 2(7A))
An Assessing Oficer means the Assistant Commissioner or Deputy Director or Deputy
relevant
or Assistant Director or the Income Tax Officer who is vested with the
ommi
arisdictsiosinoner
by
so includes the.virtue of directions or orders issued bythe Central Board of Direct Taxes and
or
it
Joint
Director or Joint Commissioner
eAdditional Commissioner or Additional conferred
Drector who is directed to exercise or perform all or any of the powers and functions
assigned to an Assessing Officer.
Power of the Jurisdictional Assessing Officer of the jurisdictional assessing officer is
Under
tited to F
Faceless Assessment Scheme the power recovery of demand, (iii) rectification of
collection and
(1)imposition of penalty, (iü) by
report called
iellate
stakes, authorities.
(iv) giving effect to appellate orders, and (v) to submit remand