The Central Board of Direct Taxes (CBDT) has the power
under section 138 of
the Income-tax Act, 1961 (Act) to furnish information (received or obtained by income tax authorities) to any
officer, authority or body performing any functions under any law relating to the imposition of
any tax, duty or cess.
Section 138
of the Act deals with disclosure of information respecting assessees. Whereas
sub-section (1) of section 138 authorises some Income Tax Authorities to
furnish information, sub-section (2) of section 138, by overriding sub-section
(1) and any other law for the time being in force, imposes a restriction to
furnish information or produce document. Contravention of this restriction
amounts to an offence punishable under section 280.
Text of Section 138
DISCLOSURE OF INFORMATION RESPECTING ASSESSEES.
138. (1)(a) The Board or any other income-tax
authority specified by it by a general or special order in this behalf may
furnish or cause to be furnished to—
(i)
any officer, authority or body performing any functions under any law relating
to the imposition of any tax, duty or cess, or to dealings in foreign exchange
as defined in clause (n) of
section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999); or
(ii)
such officer, authority or body performing functions under any other law as the
Central Government may, if in its opinion it is necessary so to do in the
public interest, specify by notification in the Official Gazette in this
behalf,
any such information received or obtained by any income-tax authority in
the performance of his functions under this Act, as may, in the opinion of the
Board or other income-tax authority, be necessary for the purpose of enabling
the officer, authority or body to perform his or its functions under that law.
(b) Where a person makes
an application to the Principal Chief Commissioner or Chief Commissioner or
Principal Commissioner or Commissioner in the prescribed form for any
information relating to any assessee received or obtained by any income-tax
authority in the performance of his functions under this Act, the Principal
Chief Commissioner or Chief Commissioner or Principal Commissioner or
Commissioner may, if he is satisfied that it is in the public interest so to
do, furnish or cause to be furnished the information asked for and his decision
in this behalf shall be final and shall not be called in question in any court
of law.
(2) Notwithstanding anything contained in sub-section (1) or any other
law for the time being in force, the Central Government may, having regard to
the practices and usages customary or any other relevant factors, by order
notified in the Official Gazette, direct that no information or document shall
be furnished or produced by a public servant in respect of such matters
relating to such class of assessees or except to such authorities as may be
specified in the order.
Text of Rule 113
DISCLOSURE
OF INFORMATION RESPECTING ASSESSEES.
113. (1) The application to the
[Chief Commissioner or Commissioner] under clause (b) of sub-section (1)
of section 138 for information relating to an assessee in respect of any
assessment made either under the Act or under the Indian Income-tax Act, 1922
(11 of 1922), on or after the 1st day of April, 1960, shall be made in Form No.
46.
(2) The information under clause (b) of
sub-section (1) of section 138 shall be furnished by the Chief Commissioner or
Commissioner in Form No. 47.
(3) Where it is not possible for the Chief
Commissioner or Commissioner to furnish the information asked for by the
applicant under clause (b) of sub- section (1) of section 138 owing to
the fact that the relevant assessment has not been completed, he shall inform
the applicant in Form No. 48.
(4) Where the Chief Commissioner or
Commissioner is satisfied that it is not in the public interest to furnish or
cause to be furnished the information asked for, he shall intimate the fact to
the applicant in Form No. 49.
Who are authorised to furnish information
As per section 138(1)(a), the CBDT or
any other income-tax authority specified by CBDT in this behalf by general or
special order are authorised to furnish or cause to be furnished information
respecting assessees. These authorities include CCIT/DGIT/CIT/DIT/Addl CIT/Addl
DIT/JCIT and JDIT. [Refer Notification No. SO 731(E) dated 28.07.2000]
Notification No. 11454 [S.O. 731(E), (F. No. 225/170/2000/ITA-II)], Dated
28.07.2000
In exercise of the powers conferred
by clause (a) of sub-section (1) of section 138 of the Income-tax Act, 1961,
the Central Board of Direct Taxes hereby specify the following income-tax
authorities for the purpose of the said clause :
(a) Chief Commissioner of Income-tax ;
(b) Director-General of Income-tax ;
(c) Commissioner of Income-tax ;
(d) Director of Income-tax ;
(e) Additional Commissioner of Income-tax ;
(f) Additional Director of Income-tax ;
(g) joint Commissioner of Income-tax ; and
(h) joint Director of Income-tax.
What may be furnished
Information received
or obtained by any income-tax authority in the performance of his functions
under the Act, as in the opinion of the CBDT or other income-tax authority may
be necessary for such other authorities to perform his function under that law.
Section 138(1)(b) provides that where a person makes an
application in Form No. 46, to the PCCIT/ CCIT/ PCIT/CIT for any information
relating to any assessee received or obtained by any income-tax authority in
the performance of his functions under the Act, the PCCIT/CCIT/PCIT/CIT
may/(may not) furnish (or cause to be furnished)/refused to furnish the
information asked for in Form No. 47/Form No. 48/Form No. 49 whichever is
applicable, if PCCIT/CCIT/PCIT/CIT is satisfied that it is in the public
interest to do so. The decision of the PCCIT/CCIT/PCIT/CIT in this behalf is
final and shall not be called in question in any court of law.
Section 138(2) stipulates that the Central Government,
considering the practices and usages customary or any other relevant factors,
may direct by order notified in the Official Gazette that no information or
document shall be furnished or produced by a public servant in respect of any
matter relating to any class of assessee or except to such authorities as may
be specified in the order.
The Central Government in exercise of the power conferred by
section 138(2) has issued Notification S.O. 2048 dated 23.06.1965 in which
disclosure of information including production of documents/records in certain
circumstances to some notified authorities has been permitted. These includes
the C&AG or any officer appointed by the C & AG, RBI, any officer or
department of the Central Government/State Government for the purpose of
investigation into the conduct and affairs of any public servant or to a Court
in connection with any prosecution of the public servant arising out of any
such investigation. The DGIT (Systems) in accordance with directions and
guidance issued by the CBDT may disclose information/ produce records to the
persons or agencies relating to allotment of PAN, TAN and computerisation of
income tax records relating to income tax assessees. [Refer Notification: SO
576(E) dated 23.05.2003]
In view of the provisions of sections 138 and 280 of the Act,
it will be appropriate not to furnish any information received or obtained in
the performance of functions under the Act, via press, media or via other
electronic modes in your capacity as an income-tax authority, unless you are authorised,
in writing, in this behalf, by the competent authority.
To whom information may be furnished [Section 138(1)(a)(i) & (ii)]
Under section 138(1), there are two
types of authorities to whom information may be furnished. For easy reference
one category of such authorities may be called as ‘Taxing Authorities’ and the
other may be called as ‘Notified Authorities’.
Section 138(1)(a)(i) provides that the information may be furnished to any officer, authority, body performing any functions under any law relating to imposition of any tax, duty or cess or dealing in foreign exchange [Taxing Authority].
Section 138(1)(a)(ii) provides that the information may be furnished to any officer, authority, body performing any functions under any other law as the Central Government may specify in this behalf by notification in the Official Gazette [Notified Authority]. There are about forty such Notified Authorities.
Section
138 of the income-tax act, 1961 - Disclosure of information respecting
assessees - Specified income-tax authority for furnishing information
respecting assessee to SEBI
ORDER No. [F. No.
225/297/2019/ITA.II], Dated 10.02.2020
In
exercise of the powers conferred under section 138(1)(a) of the Income-tax Act,
1961 ('Act'), the Central Board of Direct taxes ('CBDT') hereby directs
that Principal Director General of
Income-tax (Systems), New Delhi shall be the specified income-tax authority for
furnishing information respecting assessees to Securities and Exchange Board of India('SEBI') as notified by
the Central Government vide Notification No. 9206 dated 10.02.1993
under sub-clause (ii) of clause (a) of sub-section (1) of section
138 of the Act.
2. The
data/information to be furnished by the specified income-tax authority shall
be:
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(a)
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Request based exchange of data, wherein,
information such as (i) PAN information (including date of
application/creation for PAN, father's name/ husband's name, Date of birth
(date of incorporation), photograph, signature (name of the signatory in case
of non-individual); (ii) Name and PANs of partners in Partnership Firm and
LLPs; (iii) KYC Information contained
in IT Return (e.g. Email Id, Mobile number, address, etc.); (iv) IP address
appearing on the acknowledgement of the filed IT return; (v) Financial
particulars of the business as filed in ITR and Tax Audit Report including
Income from trading in securities, Bank account details etc. (vi) Form 61A
information reported by reporting entities under rule 114E of the Income-tax
Rules, 1962; (vii) Transactions reported by entities deducting tax at source
(TDS) and collecting tax at source (TCS); and (viii) Any other information
considered necessary for SEBI (to be decided on basis of mutual agreement
between SEBI and CBDT).
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(b)
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Suo Moto exchange of data, wherein,
information such as (i) List of scrutiny cases marked as having
Evasion/Violation related to "Stock Market Manipulation"; and
(ii)Any other information considered necessary for SEBI (to be decided on
basis of mutual agreement between SEBI and CBDT).
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(c)
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Automatic exchange of data, wherein,
information such as (i) Form 61 as per Income Tax Rules, 1962 (information of
an individual or a person (not being a company or firm) who does not have a
PAN) submitted by SEBI regulated intermediary; and (ii) Any other information
considered necessary for SEBI (to be decided on basis of mutual agreement
between SEBI and CBDT).
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While furnishing the information, the specified income-tax
authority shall form an opinion that sharing of such information is necessary
for the purposes of enabling the SEBI to perform its functions under its
respective laws.
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3. To
facilitate the process of furnishing information, Principal Director General of
Income-tax (Systems) or Director General of Income-tax (Systems) would enter
into a Memorandum of Understanding ('MoU') with Nodal Officer, SEBI which inter
alia would include modalities of exchange of data, maintenance of
confidentiality, mechanism for safe preservation of data, weeding out after
usage etc. The time line for furnishing information shall also be decided by
Pr. Director General of Income-tax (Systems) or Director General of Income-tax
(Systems) in consultation with concerned Nodal Officer of SEBI and included in
the said MoU.
4. A
copy of MoU signed shall be forwarded to this division for record purposes.
5. This
issues with the approval of Chairman, CBDT.
CBDT to share ITR Data with Goods
and Services Tax Network (‘GSTN’)
The
Central Board of Direct Taxes (CBDT) has the power under section 138 of the
Income-tax Act, 1961 (Act) to furnish information (received or obtained by
income tax authorities) to any officer, authority or body performing any
functions under any law relating to the imposition of any tax, duty or cess.
CBDT vide Order F. No. 225/105/2019/ITA.II dated
30.04.2019 directs that Principal Director General of Income-tax (Systems) or
Director General of Income-tax (Systems), New Delhi shall be the specified
income-tax authority for furnishing information respecting assessees to the
Nodal Officer, GSTN.
F. No. 225/105/2019/ITA.II, dated
30.04.2019
Order
Order
In exercise of powers conferred
under section 138(1)(a) of the Income tax Act, 1961 (‘Act’), for
purposes of sub-clause (i) of section 138(1)(a) of the Act, the Central Board
of Direct taxes (‘CBDT’) hereby directs that Principal Director General of Income-tax (Systems) or Director General of
Income-tax (Systems), New Delhi shall be the specified income-tax authority for
furnishing information respecting assessees to the Nodal Officer, Goods and Services Tax Network (‘GSTN’).
2. The
data/information to be furnished by the specified income-tax authority shall
be:
(a) Request based exchange of data,
wherein, important financial fields which are captured in the Income Tax
Returns (ITRs) such as (i) status of filing of ITR; (ii) turnover; (iii) gross
total income, (iv)turnover ratio; (v)GTI range; (vi) turnover range and (vii)
any other field, the modalities of which shall be decided by the concerned
specified authorities.
(b) Spontaneous exchange of data,
the modalities of which shall be decided by the concerned specified
authorities.
(c) Automatic exchange of data, the
modalities of which shall be decided by the concerned specified authorities.
While furnishing the information,
the specified income-tax authority shall form an opinion that sharing of such
information is necessary for the purposes of enabling the specified authority
in GSTN to perform its functions under the Goods and Services Tax.
3. To
facilitate the process of furnishing information, Principal Director General of
Income-tax (Systems) or Director General of Income-tax (Systems) would enter
into a Memorandum of Understanding (‘MoU’) with nodal officer, GSTN,
which inter-alia would include modalities of exchange of data,
maintenance of confidentiality, mechanism for safe preservation of data,
weeding out after usage etc. The time line for furnishing information shall
also be decided by Pr. Director General of Income-tax (Systems) or Director
General of Income-tax (Systems) in consultation with concerned nodal officer
and included in the said MoU.
4. A
copy of MoU shall be forwarded to this division for record purposes.
5. This
issues with the approval of Chairman, CBDT.
Section
138 of the Income-tax Act, 1961 - Disclosure of information respecting
assessees to specified officer, authority or body performing functions under
any other law - specified authority for furnishing bulk information to notified
authority under Section 138(1)(a)(ii)
ORDER (F. No. 225/252/2017-ITA.II), Dated
: 26.07.2017
In
exercise of powers conferred under section 138(1)(a) of Income-tax Act, 1961
('Act'), the Central Board of Direct taxes hereby directs that Principal
Director General of Income-tax (Systems), New-Delhi (Pr.
DGIT(Systems)) shall be the specified authority for furnishing the 'bulk
information' to Joint Secretary, Ministry of Corporate Affairs (MCA),
Government of India, as notified vide Notification
No.74/2017 dated 26.07.2017 under sub-clause (ii) of
clause (a) of sub-section (1) of section 138 of the Act.
2. Following 'bulk information' shall
be furnished:
(i) Pan data in respect of corporates;
(ii)
Income Tax Returns (ITRs) of corporates (specific relevant fields to be
decided in consultation between Pr. DGIT(Systems) & MCA);
(iii) Audit reports under section 44AB of the
Income-tax Act, 1961 in case of corporates (specific relevant fields to be decided in
consultation between Pr. DGIT(Systems) & MCA);
(iv) SFT
information relating to corporates;
(v) Identified
PAN CIN Associations;
(vi) Identified
PAN DIN Associations; and
(vii) Any
further information considered necessary for identifying 'dormant companies'
(to be decided on basis of mutual consultation between Pr. DGIT(Systems) &
MCA)
3. To
facilitate the process of furnishing information, Pr. DGIT(Systems) would enter
into a Memorandum of Understanding (MoU) with MCA which inter-alia, would
include the mode of transfer of data, maintenance of confidentiality, mechanism
for safe preservation of data, weeding it out after usage, information which
shall be furnished by MCA to Income-tax Department etc. The frequency and time
line for furnishing information shall be decided by Pr. DGIT(Systems) in
consultation with MCA and included in the said MoU.
4. A
copy of the MoU shall be forwarded to this division for record purposes.
When
disclosure or production of information regarding an assessee may be prohibited
[Section 139(2)]
Section 139(2) of the Act provides
that the Central Government may by order in official gazette provide that any
information or a document may neither be furnished nor produced by a public
servant in respect of the matter specified therein. In other words, no
information or document shall be furnished or produced by a public servant in
respect of such matters relating to such class of assessees or except to such
authorities as may be specified in the order.
Text of
Section 139(2)
Notwithstanding anything contained in sub-section (1)
or any other law for the time being in force, the Central Government may,
having regard to the practices and usages customary or any other relevant
factors, by order notified in the Official Gazette, direct that no information
or document shall be furnished or produced by a public servant in respect of
such matters relating to such class of assessees or except to such authorities
as may be specified in the order
No disclosure of information by
public servants in respect of a valid declaration made under Income Declaration
Scheme, 2016
Section 138
of the income-tax act, 1961, read with Income Declaration Scheme, 2016 - Income-tax
authorities - Information respecting assessee, Disclosure of - No disclosure of
information by public servants in respect of a valid declaration made under Income
Declaration Scheme, 2016
Notification No. SO 2322(E) [F. No.142/8/2016-TPL], Dated 06.07.2016
In exercise of the powers conferred
by sub-section (2) of section 138 of the Income-tax Act, 1961 (43 of 1961), the
Central Government having regard to all the relevant factors, hereby directs
that no public servant shall produce before any person or authority any such
document or record or any information or computerised data or part thereof as
comes into his possession during the discharge of official duties in respect of
a valid declaration made under 'the Income Declaration Scheme, 2016', contained
in Chapter IX of the Finance Act, 2016 (28 of 2016.
Contravention of a provision of Section 138 of the Income
Tax Act, 1961 [Section 280]
Section 280(1) of the Act provides
that if an Income Tax Authority or a member of the staff of the Income Tax
Department (public servant) furnishes any information or produces any document
in contravention of the provisions of section 138(2), with the previous
sanction of the Central Government, he shall be punishable with imprisonment
which may extend to six months, and shall also be liable to fine.
FORM NO. 46
[See rule 113]
Application for information under
clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
To
The Chief Commissioner or Commissioner
of Income-tax,
………………………….
Sir,
I
request you to furnish information relating to ………………………..[here give name,
status and complete address of the assessee] in respect of the assessment year
commencing on the 1st day of April,…. on the following points:
1. ………………….
2. …………………
3. …………………
4. ………………..
2. The above
information is required by me for the following reasons :
1. …………………..
2. ………………….
etc.
Dated ……...
………………………
Signature of the applicant
…………………………
(Name of the applicant) (in capital letters)
…………………………………..
Father's/Husband's
name
…………………………………
Full
address
Notes
:
1. A separate
application has to be made in respect of each assessee and in respect of each
assessment year.
2. Regarding status,
state whether the person about whom the information is required is an
individual, firm, etc.
********
FORM
NO. 47
[See rule 113]
Form for furnishing information under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
[See rule 113]
Form for furnishing information under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
No. Office of the….
………………
Date………
To
……………..
……………..
With
reference to your application dated …………. under clause (b) of sub-section (1)
of section 138 of the Income-tax Act, 1961, requesting for information relating
to ………………….. in respect of the assessment year commencing on the 1st day of
April, …………………… the said information/information respecting item Nos. ……………… of
the said application is given below:-
Name and address of the assessee ………………….
Status ………………………
Assessment year ……………….
1.
Name and address of the assessee ………………….
Status ………………………
Assessment year ……………….
1.
2.
3.
4.
2. I/Chief
Commissioner or Commissioner of Income-tax, …………………….. am/is not satisfied that
it is in the public interest to furnish information respecting item Nos. ……………………………
of your application and the information relating thereto is accordingly
refused.
(SEAL) ……………………………………
Signature of the authority
furnishing the information
Signature of the authority
furnishing the information
Note :
Delete inappropriate words.
**********
FORM
NO. 48
[See rule 113]
Form for intimating non availability of information under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
[See rule 113]
Form for intimating non availability of information under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
No. Office
of the……
…………………….
Date…………….
To
Date…………….
To
……………..
…………….
With reference to your application dated under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961, requesting for information relating to in respect of the assessment year commencing on the 1st day of April,……. I am to inform you that the said information is not yet available/no assessment for the aforesaid assessment year has been made in his/her/their case.
(SEAL)
………………..
Signature
Signature
Note : Delete in appropriate words.
*******
FORM
NO. 49
[See rule 113]
Refusal to supply information under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
[See rule 113]
Refusal to supply information under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961
No. Office
of the…………..
…………………………….
Date……………………..
Date……………………..
To
…………….
…………….
With reference to your application dated ………………. under clause (b) of sub-section (1) of section 138 of the Income-tax Act, 1961, requesting for information relating to ……………………………………..in respect of the assessment year commencing on the 1st day of April, ………………., I am to say that I am not satisfied that it is in the public interest to furnish the information asked for and I, therefore, decline to furnish the same
(SEAL)
……………………….
Signature
Signature
Maximum people don't know about this section. It is a method to provide any information to other agencies through their respective authority. Nice
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