Income Tax Department

Income Tax Department
आयकर विभाग
Income Tax Department
Agency overview
Formed1860; 164 years ago (1860)[1][2]
JurisdictionGovernment of India
HeadquartersNorth Block, Secretariat Building, New Delhi
Employees46,000 (2016–17 est.)[3]
Minister responsible
Agency executive
Parent departmentGovernment of India
Website
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The Income Tax Department (also referred to as IT Department; abbreviated as ITD) is a government agency undertaking direct tax collection of the government of India. It functions under the Department of Revenue of the Ministry of Finance.[5] The Income Tax Department is headed by the apex body Central Board of Direct Taxes (CBDT). The main responsibility of the Income Tax Department is to enforce various direct tax laws, most important among these being the Income-tax Act, 1961, to collect revenue for the government of India. It also enforces other economic laws such as the Benami Transactions (Prohibition) Act, 1988,[6] and the Black Money Act, 2015.[7]

The Income Tax Act, 1961, has a wide scope and empowers ITD to levy tax on the income of individuals, firms, companies, local authorities, societies, or other artificial juridical persons.[8] Thus, the Income Tax Department influences businesses, professionals, NGOs, income earning citizens, and local authorities, among others. The act empowers the Income Tax Department to tax international businesses and professionals and therefore ITD deals in all matters of double taxation avoidance agreements and various other aspects of international taxation such as transfer pricing. Combating tax evasion and tax avoidance practices is a key duty of ITD to ensure constitutionally guided political economy. One measure to combat aggressive tax avoidance is the general anti avoidance rule (GAAR).[9]

  1. ^ "The evolution of income-tax". Archived from the original on 4 August 2019. Retrieved 4 August 2019.
  2. ^ "July 24 to be celebrated as Income Tax Day". The Times of India. 11 July 2010. Archived from the original on 21 August 2019. Retrieved 4 August 2019.
  3. ^ "Central govt to hire 2.8 lakh more staff, police, I-T & customs to get lion's share". The Times of India. 2 March 2017. Archived from the original on 19 September 2018. Retrieved 2 March 2017.
  4. ^ "IRS Officer Ravi Agrawal Appointed Central Board of Direct Taxes Chairman".
  5. ^ "Department of Revenue- Functions". Archived from the original on 10 January 2019. Retrieved 1 January 2019.
  6. ^ "THE BENAMI TRANSACTIONS (PROHIBITION) AMENDMENT ACT, 2016" (PDF). The Gazette of India. 11 August 2016. Archived (PDF) from the original on 25 October 2017. Retrieved 10 January 2019.
  7. ^ "THE BLACK MONEY (UNDISCLOSED FOREIGN INCOME AND ASSETS) AND IMPOSITION OF TAX ACT, 2015" (PDF). The Gazette of India. 27 May 2015. Archived (PDF) from the original on 27 July 2021. Retrieved 10 January 2019.
  8. ^ "Who is liable to pay income tax". Archived from the original on 18 January 2018. Retrieved 13 April 2019.
  9. ^ "Union Budget 2012: GAAR empowers I-T department to deny tax benefits to 'companies'", The Times Of India, 16 March 2012, archived from the original on 19 March 2012, retrieved 14 July 2013