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What is Income Tax Department or Central Board of Direct Taxes (CBDT)?

Last Update Date : September 25, 2018

Income Tax Department

The Income Tax Department, also known as the IT Department or CBDT is a government agency responsible for the collection of Income Tax in India. This body is governed by the Department of Revenue under the Ministry of Finance. This guide by H&R Block India explains the functions, roles and responsibilities of the IT department. Before, you learn more about the IT department, you must know the brief history of Income Tax in India.

History of Direct Taxation in India

The system of Direct Taxation in India had existed since ancient times. The proof of it can be found in ancient manuscripts like Manu Smriti and Arthasastra. Kautilya’s Arthasastra was the first authoritative text on tax laws in India. However, The laws governing the imposition and collection started undergoing rapid changes after 1922. The tax laws have seen several amendments which comes into light of you compare the IT Act 1961 with the IT Act 1922.

What is the Full Form of CBDT?

The full form of CBDT is the Central Board of Direct Taxes. CBDT is commonly known as the Income Tax Department in India.

Official Website of the Income Tax Department

The Income Tax Department of India has various websites created for the purpose of offering a number of services to the public. These are:

  1. The official website of the Income Tax Department
  2. The e-filing portal of the IT Department
  3. Tax Information Network of the IT Department
  4. TRACES website

Historical Background of CBDT or IT Department

Today, there are two separate government bodies in charge of direct and indirect taxes. But, earlier, there was just one body to handle both types of taxes. This body was created under the Central Board of Revenue Act, 1924 and was named the Central Board of Revenue. The body was split into two in 1964, as a result, CBDT and CBEC were formed to handle the assured if direct taxes and indirect taxes respectively.

Vision, Mission and Values of the Income Tax Department

Vision Statement of the IT Department

The vision statement of the IT Department states, “To partner in the nation-building process through progressive tax policy, efficient and effective administration and improved voluntary compliance”.

Mission Statement of the IT Department

The following Mission statement outlines the roadmap for the ITD to realise its vision:

  • To formulate progressive tax policies
  • To make compliance easy
  • To enforce tax laws with fairness
  • To deliver quality services
  • To continuously upgrade skills and build a professional and motivated workforce

Values of the IT Department

The IT Department states its values as follows:

  • Integrity “We discharge our duties truthfully, honestly and transparently”
  • Accountability “We are responsible for our actions and outcomes”
  • Responsiveness “We are sensitive, prompt, fair and objective in our dealings with our stakeholders, fostering mutual trust”
  • Professionalism “We strive for improving performance and competence with a focus on achieving excellence”
  • Innovation “We encourage new ideas, methods, processes and practices”
  • Collaboration “We work together with our stakeholders and partners to achieve common goals”

Functions and Organisation of the Department of Income Tax

The CBDT (or the IT Department) is a statutory body which and functions under the Central Board of Revenue Act, 1963. The officials of the Board not only perform their official duties but also function as a Division of the Ministry and deal with matters linked to the imposition and collection of direct taxes.

The Income Tax department is lead by a Chairman and 6 other senior members:

  1. Chairman
  2. Member (Income Tax)
  3. Member (Legislation & Computerisation)
  4. Member (Personnel & Vigilance)
  5. Member (Investigation)
  6. Member (Revenue)
  7. Member (Audit & Judicial)

Organisation Chart of the Income Tax Department

Organisation chart of the Income Tax Department

Directors, Chief Commissioner and CCITs of the Income Tax Department

Position Name
Principal Director General of Income Tax (Administration & TPS) Ms Neena Kumar
Principal Director General of Income Tax (Systems) Mr Subrata Kumar Dash
Principal Director General of Income Tax (HRD) Mr Nilimesh Baruah
Principal Director General of Income Tax (Logistics) Mr Aditya Vikram (Addl. Charge)
Principal Director General of Income Tax (Legal & Research) Mr Surinderjit Singh
Principal Director General of Income Tax (Vigilance)/CVO Ms Abha Anand Kishore
Director General of Income Tax (Intelligence & Criminal Investigation) Mr Krishna Mohan Prasad
Chief Commissioner of Income Tax (Exemption) Mr Shambhu Dutta Jha
Principal Director General of Income Tax (Training), NADT Dr. P.S. Puniha
Director General of Income Tax (Risk Assessment) Mr Virendra Singh
Director General of Income Tax (Investigation) Mr Rakesh Mohan Garg
Pr. CCIT (Intl. Tax & TP) Mr Akhilesh Ranjan
Principal CCIT – Andhra Pradesh & Telengana Region Mr Shyama Prasad Choudhury
Principal CCIT – Bihar & Jharkhand Region Mr Kailesh Chandra Ghumaria
Principal CCIT – Delhi Region Mr Sushil Singh Rathore
Principal CCIT – Gujarat Region Mr A.K. Jaiswal
Principal CCIT – Karnataka & Goa Region Mr B.R. Balakrishnan
Principal CCIT – Kerala Region Mr Pranab Kumar Dass (Addl. Charge)
Principal CCIT – MP &Chattisgarh Region Mr P. K. Dash
Principal CCIT – Mumbai Region Mr P. C. Mody
Principal CCIT – Nagpur Region Dr. P.S. Puniha (Addl. Charge)
Principal CCIT – North East Region Mr Lob Chander Joshi Ranee (Addl. Charge)
Principal CCIT – North West Region Ms Madhu Mahajan
Principal CCIT – Odisha Region Mr S.P. Choudhury (Addl. Charge)
Principal CCIT – Pune Region Mr Vinodanandan Jha (Addl. Charge)
Principal CCIT – Rajasthan Region Ms Meeta Nambiar
Principal CCIT – Tamil Nadu Region Mr Sushil Kumar
Principal CCIT – Uttar Pradesh (East) Region Mr Rajendra Prasad Srivastava
Principal CCIT – Uttar Pradesh (West) Region Mr Abhay Tayal
Principal CCIT – West Bengal & Sikkim Region Ms Seema Khurana Patra

Services offered by the Income Tax Department

The IT department offers a long list of services which can be broadly classified into:

  • Return filing services
  • Tax payment services
  • PAN related services
  • TDS and TAN related services

Grievances Redressal Mechanism

When an organisation provides services, it needs to ready to handle customers’ grievances resulting from faulty service. People using services offered by the IT Department may sometimes face problems like delay in transfer of files, harassment during a search, a survey or assessment proceedings, discourteous behaviour of officials, at the time of hearing etc. Therefore, the IT Department has made grievance redressal a major part of its public relations exercise.

For Buildings where ASK is not functional

The Department has an elaborate machinery for handling grievances through a hierarchy of Grievances Cells in its offices where ASK (Aayakar Seva Kendra) is not functional, as named below:

  1. Central Grievance Cell under the Chairman, Central Board of Direct Taxes
  2. Regional Grievance Cells under the Chief Commissioner of/Director Generals of Income Tax
  3. Grievance Cell under the outstation Commissioner of Income Tax/Director Generals of Income Tax

Central Grievance Cell

This grievance cell is originally responsible for handling public grievances directly received by it. It also supervises the other two grievance cells. Director (HQ) handles the day to day activities of this cell.

Regional Grievance Cell

This grievance cell is originally responsible for handling the grievances related to jurisdictions of CITs, CITs (Central), DIT (Inv.). It sends two monthly reports to the Central Grievance cell regarding grievances received by it and out stationed Grievance cell.

Grievance cells under our station Commissioners

These are located at different places, wherein the headquarters of CIT/CIT(Central)/DIT(Inv.) are located away from the headquarters of the Chief Commissioner/Director General of Income Tax. These Grievance Cells attend to public grievances, relating to assessees within the respective jurisdictions. They have to send a two-monthly report in the prescribed proforma, to the Regional Grievance Cell.

For Buildings where ASK is functional

The Income Tax Department has set-up ASK at various offices to attend to the public’s grievances. It is a single window mechanism for the taxpayers to get their grievances resolved. ASK functions with the help of well-designed software which registers the grievances of taxpayers allots unique number and transfers the same to the respective sections for resolution and keeps track. The software is robust enough to deal with the grievances of the taxpayers in as much as now there is no need to keep manual registers for tracking the status of the grievances. The software gives details of grievances received and their redressal.

Income Tax Helplines

Service Phone number
Aaykar Sampark Kendra (ASK) 18001801961/1961
TIN-NSDL +912027218080
e-Filing of Income Tax Return 1800 103 0025
Refund/Refund re-issue/Rectification 18001034455
TDS Centralised Processing Centre (TRACES) 18001030344
Tax Return Preparer Scheme (TRP Scheme) 18001023738

People also ask

Q. What is the recruitment process or exams conducted by the Income Tax Department to select an Income Tax Officer?

A. The simple way is to qualify the Graduate Examination conducted by SSC for appointment as an Inspector among other posts. On clearing of SSC, merit list is prepared depending on the choice of selected candidates. You may be appointed as an Inspector, if your name falls against your option successfully. Further, since ITO is appointed by way of promotion from the grade of Inspector after qualifying service of 8 years, you can be promoted as an ITO subject to the passing of departmental examination and availability of vacancies.

Q. Who is the chairman of the CBDT?

A. The CBDT is the apex body of the Income Tax Department which deals with matters related to the collection and levy of direct taxes. The chairman of CBDT is Sushil Chandra and will be serving in this position till May 2019.

How can H&R Block help you?

Saving taxes and filing income tax return accurately becomes very easy when you have professional help. This is where we come into the picture. You can either use our intuitive tax filing platform to easily file your tax return or let our tax experts file it for you. We have a team of in-house tax experts who can file your tax returns accurately while giving you maximum tax benefits.

We hope that this guide gave you a good idea of the Income Tax Department or the Central Board of Direct Taxes. Keep reading our guides to learn everything important about Income Tax in India.

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