Loading...

Top
Help
×

By creating an account you can:

Logo TaxTMI
Call Us / Help / Feedback

Contact Us At :

E-mail: [email protected]

Call / WhatsApp at: +91 99117 96707

For more information, Check Contact Us

FAQs :

To know Frequently Asked Questions, Check FAQs

Most Asked Video Tutorials :

For more tutorials, Check Video Tutorials

Submit Feedback/Suggestion :

Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters 0/2000
Make Most of Text Search
  1. Checkout this video tutorial: How to search effectively on TaxTMI.
  2. Put words in double quotes for exact word search, eg: "income tax"
  3. Avoid noise words such as : 'and, of, the, a'
  4. Sort by Relevance to get the most relevant document.
  5. Press Enter to add multiple terms/multiple phrases, and then click on Search to Search.
  6. Text Search
  7. The system will try to fetch results that contains ALL your words.
  8. Once you add keywords, you'll see a new 'Search In' filter that makes your results even more precise.
  9. Text Search
Add to...
You have not created any category. Kindly create one to bookmark this item!
Create New Category
Hide
Title :
Description :
❮❮ Hide
Default View
Expand ❯❯
Close ✕
🔎 TMI Notes - Adv. Search
TEXT

Press 'Enter' to add multiple search terms. Rules for Better Search

Search In
Main Text + AI Text
  • Main Text
  • Main Text + AI Text
  • AI Text
Law:
---- All Laws----
  • ---- All Laws----
  • Benami Property
  • Bill
  • Central Excise
  • Companies Law
  • Customs
  • DGFT
  • FEMA
  • GST
  • GST - States
  • IBC
  • Income Tax
  • Indian Laws
  • Money Laundering
  • SEBI
  • SEZ
  • Service Tax
  • VAT / Sales Tax
Types:
---- All Types ----
  • ---- All Types ----
  • Act Rules
  • Case Laws
  • Circulars
  • Manuals
  • News
  • Notifications
Sort By: ?
In Sort By 'Default', exact matches for text search are shown at the top, followed by the remaining results in their regular order.
Relevance Default Date
    News Bill
    Amendment of section 169 of the Income-tax Act, 2025 relating to providing effect to advance pricing...
    News Bill
    Exemption to a foreign company on any income arising in India by way of procuring data centre servic...
    News Bill
    Allowing expenditure on prospecting of critical minerals as deduction
    News Bill
    Exemption to a foreign company on income arising on account of providing capital equipment etc. to a...
    News Bill
    Exclusion of specified business of Non-residents which are under presumptive taxation from the appli...
    News Bill
    ​​​​​​​Exemption to non-residents for rendering services u...
    News Bill
    Extension of period of deduction for units in IFSC and rationalization of tax rate
    News Bill
    Rationalisation of certain terms for treasury centres in IFSC
    News Bill
    Rationalization of Minimum Alternate Tax provisions
    News Bill
    Rationalisation of TCS rates
    News Bill
    Clarification regarding jurisdiction to issue notice u/s 148 where income has escaped assessment and...
    News Bill
    ​​​​​​​Assessments not to be invalid on ground of any mist...
    News Bill
    Clarifying time-limit for completion of assessment under section 144C.
    News Bill
    Clarifying the manner of computation of sixty days for passing the order by the Transfer Pricing Off...
    News Bill
    Amendments in Chapter XIII -G for giving effect to extension of Tonnage tax scheme to Inland Vessels
    News Bill
    Penalty provision for non-furnishing of statement or furnishing inaccurate information in a statemen...
    News Bill
    Providing definition of “commodity derivative”
    News Bill
    Providing definition of “authorised person”
    News Bill
    Correction of referencing error
    News Bill
    Correction of referencing error
❯❯
Maximize Maximize Maximize
0 / 200
Expand Note
Add to Folder

No Folders have been created

+

Are you sure you want to delete "My most important" ?

NOTE:

Notes
Showing Results for :
Reset Filters
Results Found:
Show All Summaries Hide All Summaries
News Bill
Show AI Summary
Advance pricing agreements now allow associated enterprises to file modified returns within three months for covered tax years.
Where income is modified as a result of an advance pricing agreement entered into with any person, that person or any associated enterprise may furnish a return or modified return limited to the agreement, within three months from the end of the month in which the agreement was entered into, in respect of tax years covered by such agreement entered on or after 1 April 2026 for tax years beginning 1 April 2026 and subsequent tax years.
News Bill
Show AI Summary
Exemption for foreign companies on income from procuring data centre services if routed through an Indian reseller.
A foreign company is exempt from Indian tax on income arising from procuring data centre services from a specified data centre, provided services to India users are routed through an Indian reseller; a specified data centre must be set up under an approved scheme notified by the Ministry of Electronics and Information Technology and be owned and operated by an Indian company; the exemption applies from the tax year beginning 1 April 2026 through the tax year ending 31 March 2047.
News Bill
Show AI Summary
Prospecting of critical minerals now qualifies for deferred tax deduction over ten years under expanded schedule provisions.
The schedule is amended to add critical minerals so that expenditure on prospecting and exploration of those minerals qualifies for the statutory deferred deduction available to resident taxpayers, with such expenses deductible over ten years from the year of commercial production and covering costs incurred in that year and up to four preceding years.
News Bill
Show AI Summary
Exemption for foreign companies' income from supplying capital equipment to contract manufacturers in custom bonded areas.
An exemption is introduced for income of a foreign company from providing capital goods, equipment or tooling to an Indian-resident contract manufacturer located in a custom bonded area that manufactures electronic goods for the foreign company for consideration; the time-limited exemption applies up to the tax year 2030-2031 and takes effect from 1 April 2026, applying to the tax year 2026-27 and subsequent years within the stated period.
News Bill
Show AI Summary
Non-resident cruise operations and electronics manufacturing services excluded from MAT when using presumptive taxation.
Amendment excludes certain specified non-resident businesses that opt for presumptive taxation from the scope of Minimum Alternate Tax, adding cruise ship operations and services or technology for establishing electronics manufacturing facilities for resident companies to the excluded categories, with prospective application to subsequent tax years.
News Bill
Show AI Summary
Non-resident service providers: five-year exemption for foreign income when rendering services under notified Indian schemes.
An individual who has been a non-resident for five consecutive tax years immediately preceding their first visit to India to render services under a Scheme notified by the Central Government may be exempt, for five consecutive tax years commencing with that first tax year, from tax on income that accrues or arises outside India and is not deemed to accrue or arise in India, subject to prescribed conditions.
News Bill
Show AI Summary
IFSC units and OBUs will get a longer 100% deduction period and post-expiry income taxed at 15%.
Proposed amendments extend the 100% deduction under section 147 for IFSC units from 10 consecutive years out of 15 to 20 consecutive years out of 25, and for OBUs from 10 consecutive years to 20 consecutive years; business income from IFSC after the deduction period will be taxed at 15%. The amendments apply from 1 April 2026 to the tax year 2026-27 and subsequent years.
News Bill
Show AI Summary
Treasury centre dividend exclusion limited to cross border group loans in notified jurisdictions with parent listed abroad.
Amendment restricts the dividend exclusion for inter group advances or loans involving a Finance company or Finance unit by requiring the other group entity to be located in a notified jurisdiction outside India and the group's parent or principal entity to be listed abroad; the Central Government will notify eligible jurisdictions. It also defines "group entity" by reference to the IFSCA (Payment Services) Regulations, 2024, and defines "parent/principal entity" by voting power and board control tests; the changes apply from 1 April 2026 for tax year 2026 27 onward.
News Bill
Show AI Summary
Minimum Alternate Tax: MAT rate cut to 14% and treated as final in the old regime with limited credit set off.
MAT in the old corporate tax regime will be treated as final tax and no new MAT credit will be allowed; the MAT rate is reduced to 14%. Existing MAT credit set off is limited: domestic companies may set off MAT credit only in the new regime up to 25% of annual tax liability, while foreign companies may set off to the extent normal tax exceeds MAT in the relevant year. These amendments apply from 1 April 2026 for tax year 2026 27 and subsequent years.
News Bill
Show AI Summary
TCS rates on select receipts revised, including LRS and overseas tour packages, effective April 1, 2026.
Proposed rationalisation of TCS rates sets uniform rates and adjusts specific receipts: alcoholic liquor, scrap, and certain minerals rise from 1% to 2%; tendu leaves fall from 5% to 2%. Under the Liberalised Remittance Scheme, TCS for education or medical remittances over the prior threshold is reduced from 5% to 2% (20% unchanged for other purposes). TCS on sale of an overseas tour programme package is set at a flat 2% with the threshold removed. The amendment is effective 1 April 2026.
News Bill
Show AI Summary
Reassessment notices will be issued by Assessing Officers, not NaFAC, clarifying the pre-assessment role and scope.
The amendment clarifies that the pre-assessment enquiry and the decision to issue a reassessment notice are carried out by the Assessing Officer and that the National Faceless Assessment Centre or its assessment units shall not be deemed to be the Assessing Officer for issuance of reassessment notices or related pre-assessment steps; corresponding amendments align the new income-tax statute and the clarification is made retrospective to 1 April 2021 while the new Act's amendment is effective 1 April 2026.
News Bill
Show AI Summary
Computer-generated Document Identification Number: assessments not invalidated for DIN quoting mistakes if referenced in any manner.
Assessments and related proceedings under the Income-tax Act, 1961 shall not be invalid for mistakes, defects or omissions in quoting a computer-generated Document Identification Number (DIN) provided the assessment order or proceeding references that DIN in any manner; a reference to the DIN is sufficient compliance even if notices or summons contain minor defects.
News Bill
Show AI Summary
Clarifying time-limit: section 144C timelines govern assessment finalisation; sections 153/153B govern draft order stage.
Timelines for finalisation of assessments under section 144C govern completion of assessment notwithstanding the time limits in section 153 and section 153B. Acceptance of a draft order requires completion within one month from the end of the month in which acceptance is received or the 30 day objection period expires; where objections go to the DRP, the DRP must direct within nine months and assessment must be completed within one month from the end of the month in which directions are received. Amendments will clarify this in the 1961 Act (with retrospective dates) and in the Income-tax Act, 2025.
News Bill
Show AI Summary
Transfer Pricing order timeframe clarified to include the final limitation date and apply retrospectively to past cases
Clarifies that when computing the sixty-day timeframe for the Transfer Pricing Officer to pass an arm's length price order, the final limitation date is included in that sixty-day calculation; the amendment operates notwithstanding judicial decisions and is framed to apply retrospectively in the existing law and prospectively in the new tax code to ensure uniform interpretation and reduce litigation.
News Bill
Show AI Summary
Tonnage tax scheme extended to inland vessels with registration, training, and tonnage computation changes effective April 2026.
Amendments to Chapter XIII-G clarify that tonnage computation uses a "valid certificate" and, for inland vessels, the "certificate of registration" under the Inland Vessels Act, 2021; extend core activity coverage to include inland vessel passenger activities; require compliance with minimum training guidelines issued by the Inland Waterways Authority of India where applicable and adjust the compliance-certificate requirement to refer to the designated authority for inland vessels; add IWAI consultation for average net tonnage computation; and provide a definition of IWAI. Amendments take effect 1 April 2026 and apply to tax year 2026-27 and subsequent years.
News Bill
Show AI Summary
Crypto-asset transaction reporting now attracts Rs.200/day for non-filing and Rs.50,000 for inaccurate or uncorrected statements.
Prescribed reporting entities must furnish statements on crypto asset transactions; the Finance Bill introduces a penalty of Rs. 200 per day for non furnishing and a penalty of Rs. 50,000 for furnishing inaccurate particulars and failing to correct them by amending the statute governing penalty provisions.
News Bill
Show AI Summary
Commodity derivative definition to be added to Income-tax Act, 2025 aligning with the 1961 Act, effective April 1, 2026.
Amend the Income-tax Act, 2025 to provide a statutory definition of commodity derivative matching the definition in the Income-tax Act, 1961 for use in the definition of specified derivative transaction. The amendment is contained in Clause 33 of the Finance Bill, 2026 and takes effect from 1 April 2026.
News Bill
Show AI Summary
Definition of authorised person clarified as the payor for non resident payments for foreign exchange asset transfers.
Adds a statutory definition of authorised person to identify the person responsible for paying when consideration is paid to a non resident for transfer of a foreign exchange asset, aligning the 2025 Act with earlier income tax law and amending the provision governing the person responsible for paying to clarify payor identification and related withholding and reporting obligations.
News Bill
Show AI Summary
Union Budget amendment corrects a cross reference to ensure spouse income from transferred assets is properly attributed.
Section 99(2) currently misreferences the provision governing spouse income from transferred assets by citing the clause on salary or commission, and the Finance Bill proposes to correct section 99(2) to cite the clause dealing with income arising from transferred assets; the Bill also proposes an amendment to section 402(27), both taking effect from 1 April 2026.
News Bill
Show AI Summary
TDS on sale of immovable property reference corrected to Table 3(i); amendment effective 1st April 2026.
Note 3 to section 393(1) [Table: Sl. No. 3(i)]-which applies TDS on sale of immovable property where sale consideration or stamp duty value meets the prescribed threshold-erroneously referred to Table Sr. No. 3(iii). The Finance Bill, 2026 proposes to amend Note 3 to correct the reference to Table Sl. No. 3(i) so the TDS provision operates as intended; the amendment takes effect from 1st April, 2026 (Clause 72).

TMI Notes

Back

All TMI Notes

Showing Results for :
Reset Filters
No Records Found

TMI Notes

Back

All TMI Notes

Comparison of section 237 "Appointment of income-tax authorities." between the Income-Tax Act, 2025 (as passed) and the Income-Tax Bill, 2025 (as originally introduced)

6 September, 2025

Contents
Acts
Rules & Regulations
Summary
Note

Note

-

Bookmark

Print

Print

Section 237 Appointment of income-tax authorities.

Income-tax Act, 2025

At a Glance

The documents are two textual records of provision 237 governing the appointment of income-tax authorities: one presented as Section 237 of the Income-tax Act, 2025, and the other as Clause 237 of the Income Tax Bill, 2025 (Old Version). Both set out the Central Government's power to appoint income-tax authorities, delegate appointment powers downward, and permit authorised income-tax authorities to engage executive or ministerial staff. The provisions primarily affect the Central Government, the Board (presumably the Board of Direct Taxes), senior tax officers and subordinate officers, and taxpayers indirectly (through administrative organisation). Effective dates or decision dates: Not stated in the document.

Background & Scope

Statutory hooks: the provision is presented as part of the Income-tax Act, 2025 (Document 1) and as Clause 237 in the Income Tax Bill, 2025 - Old Version (Document 2). Context: the clause/section falls under the heading "Authorities, jurisdiction and functions" and has the short title "Appointment of income-tax authorities." Coverage: appointment powers of the Central Government; delegation of appointment authority to various organisational tiers (the Board, Principal Director General/Director General, Principal Chief Commissioner/Chief Commissioner, Principal Director/Director, Principal Commissioner/Commissioner) to appoint officers below Deputy Commissioner/ Assistant Commissioner; and power for authorised income-tax authorities to appoint executive or ministerial staff necessary to assist in functions. Definitions or explanatory provisions: Not stated in the document.

Statutory Provision Mode

Text & Scope

The textual ingredients in both documents are substantively identical. The provision comprises three sub-sections:

  • Sub-section (1): "The Central Government may appoint such persons as it thinks fit to be income-tax authorities." This is a plenary appointing power vested in the Central Government, without expressed limitation in the text on whom or on what criteria the Government may appoint.
  • Sub-section (2): The Central Government may, "subject to the rules and its orders regulating the conditions of service of persons in public services and posts," authorise the Board or specified senior authorities (Principal Director General/Director General; Principal Chief Commissioner/Chief Commissioner; Principal Director/Director; Principal Commissioner/Commissioner) to appoint income-tax authorities below the rank of Deputy Commissioner or Assistant Commissioner. The clause delineates delegation of appointment power for subordinate ranks, but places express qualification by "rules and ... orders" regulating conditions of service.
  • Sub-section (3): Subject to the same qualification (rules and orders of the Central Government regulating the conditions of service of persons in public services and posts), an income-tax authority authorised by the Board may appoint such executive or ministerial staff as may be necessary to assist it in the execution of its functions. This permits internal staffing for administrative support, again subject to overarching service rules and orders.

Interpretation

The text indicates a legislature intent to centralise the ultimate appointing power while enabling hierarchical delegation for practical administration. By using broad language - "may appoint such persons as it thinks fit" and "may ... authorise" - the provision confers discretionary authority rather than mandatory duties. The repeated qualifying phrase "subject to the rules and its orders regulating the conditions of service of persons in public services and posts" signals that appointments and delegations must conform to procedural and substantive service regulations made by the Central Government (or existing civil service rules). The reference to the Board and to named classes of senior officers suggests an administrative structure wherein appointment authority is transferred internally to promote operational efficiency, while maintaining ultimate control with the Central Government.

Exceptions/Provisos

No express exceptions or provisos other than the qualifications noted in the text. Specific carve-outs, thresholds, minimum qualifications, selection procedures, tenure, confirmation, probation, or pay scales are not stated in the document. The text only restricts delegated appointments to ranks "below the rank of a Deputy Commissioner or Assistant Commissioner." Any other exceptions: Not stated in the document.

Illustrations

  • Example 1: The Central Government appoints a Commissioner of Income-tax to head a regional charge - consistent with sub-section (1). (This is a straightforward reading of the power; the document provides the enabling text but no example.)
  • Example 2: The Central Government authorises the Principal Commissioner to appoint an Income-tax Officer at a level below Deputy Commissioner to manage a local assessment unit, subject to applicable service rules. (The document authorises this practice; procedural specifics are not provided.)
  • Example 3: A Board-authorised income-tax authority appoints clerical staff to support assessment functions, within the constraints of Central Government service orders. (The provision permits such staff appointments; details like appointment mode and grade are not stated.)

Interplay

Interaction with other provisions, Rules, Notifications or Circulars: The provision explicitly defers to "the rules and its orders regulating the conditions of service of persons in public services and posts." However, the document does not identify or reproduce any particular Rules, orders, or subordinate legislation by name or citation. Where such Rules exist, they will determine conditions of service, procedures for delegation, and possibly the cadre structure; however, the text here does not specify those instruments. Any cross-references to appointment procedures in other statutory provisions or to the composition and powers of the Board: Not stated in the document.

Practical Implications

  • Compliance and risk areas: The obligation to follow "rules and ... orders regulating the conditions of service" will make adherence to service rules central in any appointment or delegation process. Risk of challenge may arise if appointments or delegations are made in breach of relevant service rules or orders. The text itself does not enumerate procedural safeguards, selection criteria, or appeal remedies - absence of these details may lead to administrative disputes. Specific timelines or appeal mechanisms: Not stated in the document.
  • Record-keeping/evidence points: Given the delegation mechanism, keeping formal records of (i) the Central Government's authorisations to the Board or specified officers; (ii) orders by the Board authorising subordinate officers; and (iii) the service rules/orders relied upon would be necessary to demonstrate compliance with the statutory proviso. The statutory text refers to "authorise" and "subject to the rules and its orders" - documentary proof of those authorisations and conformity with rules would be relevant in any judicial or administrative review. Detailed record formats or retention periods: Not stated in the document.

Key Takeaways

  • The provision vests plenary appointment power in the Central Government to appoint income-tax authorities.
  • The Central Government may delegate appointment powers to the Board and specified senior tax officers for appointments below Deputy Commissioner/Assistant Commissioner, subject to service rules and orders.
  • Authorised income-tax authorities can appoint executive and ministerial staff necessary for carrying out functions, again subject to service rules and orders.
  • The text emphasises conformity with "rules and ... orders regulating the conditions of service," but does not specify those rules or the procedural modalities for appointment or delegation.
  • Documentary proof of authorisations and compliance with service rules will be pivotal to defend appointments against challenge; however, procedural safeguards, appeal routes, qualifications, and effective dates are not specified.

Differences Between the Two Documents and Practical Impact

Substantively, the textual provisions in Document 1 (Section 237 of the Income-tax Act, 2025) and Document 2 (Clause 237 of the Income Tax Bill, 2025 (Old Version)) are identical in wording across the three sub-sections. The only material divergence is that Document 2 includes an explanatory sentence following the clause text: "Clause 237 of the Bill seeks to provide for the appointment of income-tax authorities by the Central Government by framing rules and orders for regulating conditions of service and to authorise the Board or subordinate authorities, to appoint income-tax authorities below the rank of a Deputy or Assistant Commissioner and also other executive or ministerial staff." This is a descriptive summary and does not alter the operative statutory wording.

Practical impact of this difference:

  • The inclusion of the explanatory sentence in Document 2 has only interpretive utility; it summarises the legislative purpose but does not change the legal effect. When the clause becomes an enacted section (as in Document 1), the statutory language governs. The summary in Document 2 may aid readers in understanding legislative intent but is not a source of substantive law.
  • Because the operative statutory text is identical, there is no change in legal authority, delegation mechanics or the limits on delegated appointments between the Old Version and the enacted form as presented - both require adherence to the relevant "rules and ... orders." Any procedural changes would therefore arise from those subordinate rules/orders, which are not included in either document.
  • Where administrative action or litigation turns on legislative intent, the summary in the Bill text (Document 2) might be cited for purposive interpretation, but courts and administrators will primarily rely on the enacted text (Document 1) and the applicable service rules or orders when adjudicating disputes.

Other specifics such as effective date, transitional arrangements for incumbents, specified qualifications for appointment, criteria for delegation, or disciplinary and appeal procedures are Not stated in the document.


Full Text:

Section 237 Appointment of income-tax authorities.

Topics

Acts Income Tax