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The Income Tax Department’s commitment to taxpayers is encapsulated in the Taxpayers’ Charter 2020. This declaration outlines the department’s vision, mission, and standards of service delivery. In this article, we delve into the core aspects of the Taxpayer’s Charter, exploring both the obligations of the department and the expectations it holds for taxpayers.

Taxpayer’s Charter- Obligations & Expectation of Income Tax Dept.

The Income Tax Department is committed to TAXPAYERS’ CHARTER 2020

The Taxpayers’ Charter of the Income Tax Department is a declaration of its Vision, Mission and Standards of Service Delivery.

VISION

To partner in the nation building process through progressive tax policy, efficient and effective administration and improved voluntary compliance.

„”— MISSION —————-  

  • To formulate progressive tax policies;
    To make compliance easy;
  • To be accountable and transparent & act with honesty, in fair & judicious manner;
  • To deliver quality services;
  • To continuously upgrade skills and build a professional and motivated workforce.

WE BELIEVE IN

  • Equity and transparency;
  • Promoting taxpayer awareness and encouraging and assisting them towards voluntary compliance;
  • Effective deterrence against tax evasion;
  • ‘Continuous Research’ as is the foundation of tax policy and administration; and
  • Adopting technology as an enabler for improved service delivery.

The Income Tax Department is committed to :

  • Fair, courteous, and reasonable treatment.
  • Treat taxpayer as honest.
  • Fair and impartial appeal and review mechanism.
  • Provide complete and accurate information for obligations under the law.
  • Timely decisions.
  • Collect due tax as per law.
  • Respect privacy of taxpayer.
  • Maintain confidentiality.
  • Hold its authorities accountable.
  • Taxpayer to choose an authorized representative of their choice.
  • Provide mechanism to lodge complaint thereof.
  • Provide a fair & just system.
  • Publish service standards and report periodically.
  • Reduce cost of compliance.

And expects taxpayers to :

  • Be honest and compliant.
  • Be informed – Know compliance obligations.
  • Keep accurate records.
  • Know what their representative does.
  • Respond in time.
  • Pay tax on time

Service Delivery Standards

Provides following key services within specified time limits:

S. No. Key Services (Reference:

The I.T. Act, 1961)

the date of

Timelines (after passing/receipt of the order or application).
1 Refund & interest u/s 143(1) 3 months.
2 Refund and interest from proceedings other than section 143(1) 1 month.
3 Rectification application 6 months.
4 Giving effect to appellate/revision order (some exceptions) 3 months.
5 Acknowledgement of communications
received through electronic media/hand.
Not Beyond
One Week.
6 Extension of time for tax payment or grant of installment. 1 month.
7 Issue of Tax Clearance Certificate u/s 230 One week.
8 Recognition/approval to provident fund/superannuation fund/gratuity fund 3 months.
9 Grant of exemption to institutions (University, School, Hospital etc.) 3 months.
Institutions having existing approval 3 months.
If approval is provisional or is about to expire 6 months.
In any other case 1 month.
10 Approval to a fund under section 10(23AAA) 3 months.
11 Registration of charitable or religious trust or institution
Trust or Institution having existing registration u/s 12A or 12AA within 3 months
Trust or institution registered under section 12AB & related issues. within 6 months
Any other including provisional registration within 1 month
12 Approval of Hospitals in respect of medical treatment of prescribed diseases 3 months.
13 Approval to institution or fund under section 800(5)
Trust or Institution having exemption u/s 800 within 3 months
Other cases of Trust or institution where exemption is due & related issues within 6 months
Any case including provisional grant of exemption within 1 month
14 No deduction of tax or deduction of tax at lower rate 1 month.
15 Redressal of grievance 2months.
16 Transfer of case from one charge to another 2 months.

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