Loading...

⚠ ✕
❮ Top
☎ Help
☰
GST ▸
Central GST ▸
Integrated GST + ▸
UTGST / SGST ▸
GST Case Laws + ▸
Income Tax ▸
Income Tax ▸
Allied (Direct Tax) ▸
Income Tax Case Laws ▸
DTAA ▸
International Taxation ▸
Customs ▸
Customs Act / Rules ▸
Notifications / Forms ▸
Circulars / Tariff ▸
Case Laws / Manual ▸
FTP/SEZ ▸
Foreign Trade ▸
Notifications / Circulars / Appendix / Forms ▸
Special Economic Zone (SEZ) ▸
Corp. Law ▸
Company Laws ▸
Standards / Trusts ▸
Partnership / LLP / Societies ▸
Case Laws ▸
FEMA ▸
FEMA / FCRA ▸
Notifications / Circulars ▸
Manual / FAQ ▸
FEMA Case Laws ▸
SEBI / IBC ▸
SEBI ▸
SEBI Case Laws ▸
IBC ▸
IBC - Case Laws ▸
PMLA ▸
Benami Property ▸
Black Money ▸
Money Laundering ▸
Vivad ▸
Direct Tax ▸
Indirect Taxes ▸
Indian Laws ▸
Indian Laws ▸
Bharatiya Nyaya 2023 ▸
Finance Acts & Bills / Amendment Acts ▸
Case Laws ▸
Labour Laws ▸
Labour Code ▸
Old / Others ▸
Central Excise ▸
Central Excise - Cases ▸
Wealth Tax ▸
Service Tax ▸
Service Tax Cases ▸
CST / DVAT ▸
CST / VAT / Sales Tax ▸
×

By creating an account you can:

Logo TaxTMI
Keyword Search :
AI Tools : New
Ask tax questions in natural language. Powered by AI trained on the TaxTMI legal database. Use AI Tools ➞
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
  6. The system will try to fetch results that contains ALL your words.
  7. Once you add keywords, you'll see a new 'Search In' filter that makes your results even more precise.
    8. 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 ✕
🔎 Filters / Advanced 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
    Manuals Income Tax
    Certain ICDS provisions are inconsistent with judicial precedents. Whether these judicial precedents...
    Manuals Income Tax
    Does ICDS apply for the purposes of computing exemption u/s 11 to 13.
    Manuals Income Tax
    Does ICDS apply to the applicability aspect of the TDS.
    Manuals Income Tax
    How will ICDS apply to companies which adopted Ind-AS. (Indian accounting standards)
    Manuals Income Tax
    Whether the provisions of ICDS shall apply to Banks, Non-banking financial institutions, Insurance ...
    Manuals Income Tax
    Whether ICDS is applicable to Non-Residents whose income is liable to be taxed at a flat rate of tax...
    Manuals Income Tax
    Can a assessee opt to change his method of accounting from mercantile to cash basis.
    Manuals Income Tax
    Can ICDS would apply to other categories of taxpayers whose income is taxed under presumptive tax sc...
    Manuals Income Tax
    Can a assessee can follow different methods of accounting for different sources of income under the ...
    Manuals Income Tax
    Can ICDS apply to a person following cash system of accounting and to the person whose books of acco...
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - Currency conversion using telegraphic transfer buying rate (‘TTBR...
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - Documents to be furnished for availing FTC
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) in case of MAT/ AMT
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - Lower of the tax payable under the Act and DTAA
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - Cases in which no FTC benefit would be available
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) shall be allowed if evidence & undertaking furnished within 6 months ...
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - Meaning of foreign tax
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - Benefit on proportionate basis
    Act Rules Income Tax
    Foreign Tax Credit (‘FTC’) - FTC benefit in the year in which income offered to tax
    Manuals Income Tax
    STEPS NEED TO BE TAKEN AFTER APPROVAL ADVANCE PRICING AGREEMENT(APA)?
❮
❯
❯❯
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:

Open Link
Notes
All › Income Tax
Showing Results for :
Reset Filters
Results Found:
Show All Summaries Hide All Summaries
Manuals Income Tax
Certain ICDS provisions are inconsistent with judicial precedents. Whether these judicial precedents...
Show AI Summary
ICDS applicability may govern specified transactional tax issues, raising whether prior judicial precedents remain operative.
The ICDS, notified under section 145(2), are intended to standardise computation of business and other income for the transactional issues they address and apply to assessment years following notification. They were framed after reviewing judicial views to supply authoritative guidance where earlier judicial decisions arose without statutory standards; nevertheless, some ICDS provisions may conflict with those precedents, posing a question about which authority should prevail.
Manuals Income Tax
Does ICDS apply for the purposes of computing exemption u/s 11 to 13.
Show AI Summary
ICDS application: accounting standards govern business income computation for exempt trusts, triggering ICDS when commercial books are maintained.
ICDS do not apply to the standalone computation of exemption for charitable entities based on the commercial concept of income; however, when income is taxed under the regular heads, ICDS apply to income classified under Profits and Gains of Business or Profession and Income from Other Sources if books are kept on the mercantile system. If a trust carries on incidental business with separate books, business income must be computed on a commercial basis and ICDS apply to that business income despite entitlement to charitable exemption.
Manuals Income Tax
Does ICDS apply to the applicability aspect of the TDS.
Show AI Summary
Applicability of ICDS may indirectly determine whether TDS provisions apply by altering gross receipts/turnover calculations.
ICDS influence the computation of gross receipts/turnover used to determine whether statutory TDS provisions apply; while ICDS govern income computation and not TDS rules, their application to receipts can indirectly change whether individuals, HUFs or presumptive taxpayers cross the turnover benchmarks that attract TDS obligations.
Manuals Income Tax
How will ICDS apply to companies which adopted Ind-AS. (Indian accounting standards)
Show AI Summary
ICDS applicability: applies to taxable income computation under business or other income irrespective of Ind AS adoption.
For computing taxable income under the heads Profits and Gains of Business or Profession and Income from Other Sources, ICDS provisions govern determination of income irrespective of whether an entity follows erstwhile Accounting Standards or Ind AS for financial reporting; companies adopting Ind AS must apply ICDS adjustments when computing taxable income under those heads.
Manuals Income Tax
Whether the provisions of ICDS shall apply to Banks, Non-banking financial institutions, Insurance ...
Show AI Summary
ICDS applicability clarified: sector-specific provisions and statutory overrides determine application to banks, insurers and financial firms.
ICDS apply generally for income computation unless an ICDS contains sector-specific provisions or the substantive law provides a special regime; ICDS VIII addresses banks and certain financial institutions, while statutory and regulatory accounting requirements for insurance business prevail over general ICDS provisions.
Manuals Income Tax
Whether ICDS is applicable to Non-Residents whose income is liable to be taxed at a flat rate of tax...
Show AI Summary
ICDS applicability to non-residents ensures income is determined under ICDS before flat-rate tax treatment on passive receipts.
ICDS applies to non-resident income taxed at a flat rate-such as interest, royalty and fees for technical services-because the flat tax is applied after determination of income, so Income Computation and Disclosure Standards govern measurement and recognition for computing taxable income.
Manuals Income Tax
Can a assessee opt to change his method of accounting from mercantile to cash basis.
Show AI Summary
Change of accounting method: an assessee may adopt cash basis if the change is bona fide and consistently applied thereafter.
An assessee may change the method of accounting from mercantile to cash basis if the change is bona fide and is followed regularly thereafter; such a change is distinct from a change in accounting policy and must be consistently applied to support proper income computation and disclosure.
Manuals Income Tax
Can ICDS would apply to other categories of taxpayers whose income is taxed under presumptive tax sc...
Show AI Summary
ICDS revenue recognition applies to presumptive tax schemes computing income from gross receipts or turnover.
ICDS on revenue recognition applies to taxpayers under presumptive tax schemes when such schemes compute income by reference to gross receipts, turnover or similar revenue measures; absent an express exclusion, ICDS principles govern the computation of those receipts or turnover for income-tax computation and disclosure.
Manuals Income Tax
Can a assessee can follow different methods of accounting for different sources of income under the ...
Show AI Summary
Accounting method application: ICDS governs sources using the mercantile system but not sources accounted on a cash basis.
ICDS applies at the source level: it governs only those sources where the assessee follows the mercantile (accrual) system of accounting and does not apply to sources maintained on the cash system, a distinction intended to prevent escapement of income caused by heterogeneous accounting across an assessee's activities.
Manuals Income Tax
Can ICDS apply to a person following cash system of accounting and to the person whose books of acco...
Show AI Summary
ICDS applicability limited to mercantile accounting; excludes cash-accounting and individuals/HUFs not subject to tax audit.
ICDS applies to persons following the mercantile system of accounting and does not apply to those following the cash system. For individuals and HUFs, ICDS is applicable only if they carry on business or profession and their books are required to be audited under the tax audit provisions; it does not apply where there is no business or professional income even if mercantile accounting is followed for other heads.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - Currency conversion using telegraphic transfer buying rate (‘TTBR...
Show AI Summary
Foreign tax credit conversion uses telegraphic transfer buying rate on the last day of preceding month.
Foreign tax credit is determined by converting the currency of the foreign-tax payment at the telegraphic transfer buying rate applicable on the last day of the month immediately preceding the month in which that tax is paid or deducted.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - Documents to be furnished for availing FTC
Show AI Summary
Foreign Tax Credit documentation: verified income statement plus certificate and payment or deduction proof to claim credit.
Foreign Tax Credit eligibility requires a verified statement of foreign income and foreign tax paid in the prescribed form, plus a certificate or statement specifying the nature of the income and tax deducted or paid issued by the foreign tax authority, the person who deducted the tax, or signed by the taxpayer, accompanied by a tax challan or online payment acknowledgement for payments and proof of deduction where tax was withheld.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) in case of MAT/ AMT
Show AI Summary
Foreign tax credit allowed against MAT/AMT like normal tax, but any excess over normal provisions is ignored.
Foreign tax credit under Rule 128 of the Income tax Rules, 1962, is allowable against tax payable under MAT or AMT in the same manner as under the normal provisions; any foreign tax credit available against MAT/AMT that exceeds the credit allowable under normal provisions is ignored when computing MAT/AMT credit.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - Lower of the tax payable under the Act and DTAA
Show AI Summary
Foreign tax credit: credit limited to lower of domestic tax and foreign tax; treaty excess is disregarded.
Rule 128 of the Income tax Rules, 1962 limits Foreign Tax Credit to the lesser of domestic tax chargeable on the doubly taxed income and the foreign tax actually paid, and directs that any foreign tax paid in excess of the tax payable under the applicable DTAA be ignored for credit computation.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - Cases in which no FTC benefit would be available
Show AI Summary
Foreign Tax Credit denial: no credit for domestic interest, fees or penalties and for disputed foreign taxes.
Rule 128 restricts Foreign Tax Credit by disallowing FTC against interest, fees or penalties payable under the Income-tax Act, and by excluding any foreign tax (or part thereof) that is disputed by the assessee.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) shall be allowed if evidence & undertaking furnished within 6 months ...
Show AI Summary
Foreign Tax Credit requires evidence of settlement, proof of payment and an undertaking within six months of dispute resolution.
Foreign Tax Credit (FTC) is allowed for disputed foreign tax only if, within six months from the end of the month in which the dispute is finally settled, the assessee furnishes evidence of settlement, evidence that the tax liability has been discharged by the assessee, and an undertaking that no refund in respect of that amount has been or will be claimed.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - Meaning of foreign tax
Show AI Summary
Foreign tax definition determines FTC scope: DTAA-covered taxes apply, otherwise income-tax-type foreign levies qualify for credit.
Definition of foreign tax for Foreign Tax Credit under Rule 128: where a DTAA exists, foreign tax is the tax covered by that DTAA; where no DTAA exists, foreign tax is the tax payable under the foreign country's law in the nature of income-tax as defined in the statutory explanation, including excess profits tax or business profits tax charged on profits by central or local authorities.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - Benefit on proportionate basis
Show AI Summary
Foreign tax credit proportionate allocation ensures foreign tax relief is apportioned when income is taxed across multiple years.
Foreign tax credit under the Income tax Rules operates on a proportionate allocation principle when the same income is taxable in more than one year; the credit entitlement must be apportioned across the years in which the income is offered to tax so that relief for foreign taxes corresponds to the portion of income taxed in each year.
Act Rules Income Tax
Foreign Tax Credit (‘FTC’) - FTC benefit in the year in which income offered to tax
Show AI Summary
Foreign tax credit allowed when foreign tax corresponds to income offered or assessed to tax in India in the same year.
Foreign tax credit is available to Indian residents for tax paid in a foreign country or specified territory, and is allowed only in the year when the corresponding income is offered to tax or assessed to tax in India, creating a temporal link between domestic taxation of the income and recognition of the foreign tax credit.
Manuals Income Tax
STEPS NEED TO BE TAKEN AFTER APPROVAL ADVANCE PRICING AGREEMENT(APA)?
Show AI Summary
Advance Pricing Agreement requires modified returns and extends reassessment deadlines for affected assessment years by tax authorities.
Entry into an Advance Pricing Agreement fixing the arm's length price requires the taxpayer to file a modified return for each affected assessment year within three months from the end of the month in which the APA is executed. If an assessment was already completed, the Assessing Officer must reassess under the APA and complete that reassessment within one year from the end of the financial year in which the modified return is filed. If the assessment was pending, the Assessing Officer may complete it within an extended timeframe permitted for APA-related assessments.

TMI Notes

All › Income Tax
Back

All TMI Notes

Showing Results for :
Reset Filters
No Records Found

TMI Notes

Home › TMI Notes › Income Tax › Act-Rules › Category › This
Back

All TMI Notes

Income Tax

Comparison of section 239 "Instructions to subordinate 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

Print Options

Section 239 Instructions to subordinate authorities.

Income-tax Act, 2025

At a Glance

The two texts under review are Section 239 of the Income-tax Act, 2025 (as presented in Document 1) and Clause 239 of the Income Tax Bill, 2025 - Old Version (Document 2). Both provisions concern the power of the Board to issue orders, instructions and directions to subordinate income-tax authorities. The provisions are largely similar in scope and structure; however, there are minor textual variations between the Act version and the Bill old version that may have practical consequences for scope and administrative practice. Affected parties include the Board, subordinate income-tax authorities, appellate authorities and taxpayers. Effective date or enactment date: Not stated in the document.

Background & Scope

Statutory hooks: The provision is framed under the heading "Authorities, jurisdiction and functions" and specifically titled "Instructions to subordinate authorities." The text sets out (i) a general power for the Board to issue orders, instructions and directions to other income-tax authorities for proper administration; (ii) express limits on that power vis-`a-vis directing particular outcomes or interfering with appellate discretion; and (iii) specific ancillary powers in sub-section (3) for issuing general or special orders relating to various listed sections, admitting delayed claims in certain cases, and relaxing specified Chapter IV or VIII requirements where genuine hardship is established.

Definitions/explanations: Not stated in the document.

Statutory Provision Mode

Text & Scope

Coverage: The Board may issue orders, instructions and directions to other income-tax authorities for proper administration; such authorities and all persons employed in execution shall observe and follow them (sub-s. (1)).

Limits: Sub-section (2) imposes two limits. The Board cannot (a) require an income-tax authority to make a particular assessment or dispose of a particular case in a particular manner; and (b) interfere with the discretion of the Joint Commissioner (Appeals) or Commissioner (Appeals) in the exercise of appellate functions.

Particular powers: Sub-section (3) contains three distinct heads:

  • (3)(a) - the Board may issue, for management of assessment and collection work, general or special orders (including by way of relaxation of specified provisions) in respect of any class of incomes or cases, setting guidelines/principles/procedures (not prejudicial to assessees) for subordinate authorities; and such orders may be published/circulated in the prescribed manner in the public interest.
  • (3)(b) - the Board may, by general or special order, authorise any income-tax authority (other than appellate authorities) to admit an application or claim for exemption, deduction, refund or other relief after statutory time limits and deal with it on merits to avoid genuine hardship.
  • (3)(c) - the Board may, by general or special order for reasons to be specified, relax any requirement in Chapter IV or VIII where an assessee failed to comply with a requirement for claiming deduction, provided (i) the default was due to circumstances beyond the assessee's control and (ii) the assessee complied with the requirement before completion of assessment for the tax year in which the deduction is claimed. Sub-section (4) requires the Central Government to lay every order issued under sub-s. (3)(c) before each House of Parliament.

Interpretation

Legislative intent indicated by the text: The provision expresses an intent to centralise administrative guidance and to permit the Board to issue non-case-specific instructions to promote uniformity and efficiency in assessment and collection, while simultaneously protecting adjudicatory independence at the case level (notably appellate discretion) and preserving safeguards for taxpayers against prejudicial instructions. The inclusion of powers to relax procedural/technical requirements and to admit time-barred claims reflects a policy to address genuine hardship and avoid unduly rigid forfeiture of reliefs. The Act also contemplates publication of orders where the Board deems it necessary in the public interest, signalling transparency for general guidance.

Exceptions/Provisos

The principal exceptions are recorded in sub-section (2) which precludes instructions that would compel a specific outcome in a particular case or interfere with appellate discretion. Sub-section (3)(a)(i) requires that directions/instructions be "not being prejudicial to assessees." Sub-section (3)(c) conditions relaxation on (i) circumstances beyond the assessee's control and (ii) compliance before completion of assessment in the relevant year. Sub-section (4) subjects orders under (3)(c) to parliamentary oversight by laying them before each House.

Illustrations

  • Example 1: A Board order setting uniform procedural steps for assessment teams in electronic filing of responses - Not stated in the document as a concrete illustration, but consistent with (3)(a). (If a concrete example is required: Not stated in the document.)
  • Example 2: Permitting admission of a delayed refund claim where a natural calamity prevented timely filing, subject to the Board issuing a general order under (3)(b). Not stated in the document as a case illustration.

Interplay

Interaction with other provisions: The text cross-refers explicitly to many specific sections (for potential relaxation) and to Chapters IV and VIII (for relaxation of requirements). It also draws a distinction between non-appellate income-tax authorities and appellate authorities (Joint Commissioner (Appeals), Commissioner (Appeals)) - limiting the Board's direct intervention in appellate discretion. Specific Rules/Notifications/Circulars are not enumerated beyond "prescribed manner" for publication. Names or citations of subordinate instruments: Not stated in the document.

Differences Between the Act Version and the Bill (Old Version) and Practical Impact

  • Wording in sub-section (2): Act - "No orders, instructions or directions under sub-section (1) shall be issued so as to-"; Bill - "No orders, instructions or directions under sub-section (1) shall be issued to-".
    • Practical impact: The difference is stylistic. "So as to" arguably emphasises the manner or effect of issuing instructions (i.e., not in such a way as to require a particular outcome), whereas "shall be issued to" reads as a direct prohibition on issuing orders to certain ends. In practice, there is no substantive change to the substantive prohibition identified in (2)(a) and (2)(b). The difference is likely immaterial to legal effect but may carry minor interpretive shading about focus on manner versus recipient/purpose.
  • List of sections in sub-section (3)(a): The Act version lists the sequence "...287, 288, 298, 398(3)..." whereas the Bill old version lists "...287, 298, 398(3)..." (i.e., 288 appears in the Act text but appears omitted in the Bill text as presented).
    • Practical impact: If the omission in the Bill was inadvertent and 288 is intended in the final Act, then the Act version broadens express authority to relax the provisions of section 288. If section 288 imposes distinct obligations or sanctions, explicit inclusion permits the Board to issue relaxations by general/special order in respect of that provision. Conversely, omission would narrow the enumerated list. Whether this difference has substantive effect depends on the content and importance of section 288 (Not stated in the document). If section 288 relates to a material procedural or substantive requirement, inclusion in the relaxation clause could materially affect taxpayers and assessing authorities by permitting central relaxation for classes of cases. The document does not state whether the listing is exhaustive or illustrative ("or otherwise" appears), which also affects the practical reach of the Board's power: the text includes "or otherwise" suggesting non-exclusivity, but the significance of explicitly listing a section is to signal legislative focus on those provisions.
  • Phraseology in sub-section (3)(b): Act - "authorise any income-tax authority, not being a Joint Commissioner (Appeals) or a Commissioner (Appeals) to admit an application or claim any exemption, deduction, refund or any other relief under this Act after the expiry of the period specified ..." Bill - "authorise any income-tax authority, not being a Joint Commissioner (Appeals) or a Commissioner (Appeals) to admit an application or claim for any exemption, deduction, refund or any other relief ...".
    • Practical impact: The difference ("claim any" versus "claim for any") is grammatical and does not change the substantive operation: both permit admission of applications or claims for relief after expiry of the statutory period. No substantive practical effect discernible from the text.
  • Stylistic heading and citation labels: Document 1 is presented as "Section 239 of the Income-tax Act, 2025" while Document 2 is "Section 239 of the Income-tax Act, 2025."
    • Practical impact: This reflects legislative stage (Bill vs enacted Act) rather than substantive content differences. The operative legal effect changes on enactment; however, the document does not state dates or legislative history. Not stated in the document.

Practical Implications

  • Compliance and risk areas: The Board's power to issue guidelines and procedural directions (3)(a) means subordinate authorities must implement central instructions, subject to the limits in sub-s. (2). Taxpayers should be attentive to Board circulars/orders published under (3)(a)(ii) as they may set procedural expectations. Risk arises if a directive crosses the prohibition in sub-s. (2) by effectively directing particular case outcomes; the text prohibits such directions, creating a compliance boundary for the Board and subordinate officers.
  • Record-keeping/evidence: Where a subordinate authority admits a delayed claim under (3)(b) or relaxes Chapter IV/VIII requirements under (3)(c), the text requires reasons to be specified (for (3)(c)) and conditions to be satisfied. Authorities should record the factual circumstances showing that default was due to circumstances beyond the assessee's control and that compliance occurred before completion of assessment, to meet the textual conditions. The document does not specify forms or prescribed records. Not stated in the document.
  • Administrative practice: The ability to publish orders for general information (3)(a)(ii) suggests the Board will issue administrative directions periodically; such published orders will guide uniform practice. Where textual differences (e.g., inclusion of section 288) exist between Bill and Act, administrative guidance should clarify the scope of any relaxation power available to the Board. The document does not state any such clarifications. Not stated in the document.

Key Takeaways

  • The provision vests the Board with a broad, centralised power to issue administrative orders, instructions and directions to subordinate income-tax authorities for proper administration.
  • Sub-section (2) preserves adjudicatory independence by barring orders that compel a particular assessment outcome or interfere with appellate discretion.
  • Sub-section (3) enables the Board to issue general/special orders including relaxation of specified provisions, admission of time-barred claims to avoid genuine hardship, and relaxation of Chapter IV or VIII requirements subject to conditions and parliamentary oversight for (3)(c) orders.
  • Differences between the Bill old version and the Act are minor and largely stylistic, except for a possible addition of section 288 in the Act's list - which, if deliberate, expands the express list of provisions that may be relaxed.
  • Stakeholders should expect periodic Board orders and should ensure documentary evidence of circumstances beyond control where relief under (3)(b)/(3)(c) is sought; the document does not provide procedural forms or timelines. Not stated in the document.
  • Where a conflict arises between a Board instruction and the prohibitions in sub-section (2), the textual prohibition provides a clear legal boundary; enforcement and interpretation will depend on future administrative practice and judicial review. Not stated in the document.

Full Text:

Section 239 Instructions to subordinate authorities.

Topics

Acts Income Tax
Next ➔