CBDT

The Central Board of Direct Taxes, commonly known as the CBDT, is a statutory board constituted under the Central Boards of Revenue Act, 1963. It functions under the Department of Revenue in the Ministry of Finance, Government of India. The CBDT is the apex body for direct tax administration in India, responsible for the formulation of policy and planning in relation to direct taxes and also for the administration of direct tax laws through the Income Tax Department.

The primary functions of the CBDT include the administration of the Income Tax Act, 1961, and the Finance Act. It oversees the collection of direct taxes, such as income tax, corporate tax, and wealth tax (though wealth tax is currently not in force). The board is also involved in developing strategies for tax administration, including measures to prevent tax evasion and avoidance. It plays a crucial role in implementing government policies related to taxation and ensuring compliance with tax laws.

The CBDT is composed of a Chairman and several Members, who are usually appointed from the senior ranks of the Indian Revenue Service (IRS). These members are responsible for different wings of the Income Tax Department, such as policy, legislation, administration, and audit. The board works towards enhancing tax revenue, simplifying tax procedures, and improving taxpayer services. It also engages in international cooperation on tax matters and participates in global forums related to taxation.