In exercise of the powers conferred by subsection I and sub section 2 of section 120 of the Income tax Act

## Report on Amendment to Income Tax Notification Regarding Jurisdiction of Income Tax Authorities **1. Executive Summary:** This report analyzes an amendment to an existing Income Tax notification, specifically Notification No. 662014 dated 13th November, 2014, which deals with the jurisdiction of Income Tax authorities. The amendment, enacted via S.O. 1225(E) and dated 16th March, 2021, alters the designation and headquarters of the Principal Chief Commissioner of Income Tax for the North East Region. This change reassigns responsibilities for Income Tax Appeals to Guwahati within the Central, North East Region. The amendment is retroactive, taking effect from 24th February, 2021, and is intended to align with an internal office order regarding functional requirements. **2. Introduction:** This report aims to provide a comprehensive overview of the amendment to the Income Tax notification, as published in the Gazette of India on March 16th, 2021. The analysis is based solely on the information provided within the official notification text. **3. Policy Overview:** * This document is an *amendment* to the original notification No. 662014 dated 13th November, 2014, published in the Gazette of India, Extraordinary, Part II, Section 3, Subsection ii vide No. S.O. 2907(E), dated 13th November, 2014. * **Core Objective:** The core objective of the amendment, inferred from the text, is to revise the assignment of responsibilities and jurisdictions of Income Tax authorities, specifically concerning the Principal Chief Commissioner of Income Tax for the North East Region. **4. Background and Rationale:** This amendment appears to be driven by the need to realign responsibilities within the Income Tax Department to better suit operational requirements. Specifically, the Explanatory Memorandum mentions Office Order No. 7 of 2021 (F.No. HRD18732021ITAI8623 dated 24th February, 2021) regarding the diversion of an existing post in light of functional requirements. The retrospective application of the amendment suggests a need to quickly implement this realignment. **5. Key Provisions / Changes:** This section focuses specifically on the changes introduced by the amendment text: * **Part of original policy being changed:** The amendment modifies the "Schedule" of the original notification, specifically "serial number 10 and the entries relating thereto." * **New Rule/Provision:** The amendment substitutes the original entry for serial number 10 with the following: | Sl No. | Designation | Headquarters | Income Tax Authorities | | :----- | :---------------------------------------------- | :----------- | :------------------------------------------------------------------------------------------ | | 10. | Principal Chief Commissioner of Incometax, North East Region | Guwahati | Commissioner of Incometax Appeal Central, North East Region, Guwahati. | * **Difference/Effect of Change:** The primary effect is a change in the headquarters and responsibilities assigned to the Principal Chief Commissioner of Income Tax for the North East Region. The Commissioner of Incometax Appeal Central, North East Region, Guwahati is specifically listed. **6. Target Audience and Stakeholders:** The direct target audience primarily includes: * The Principal Chief Commissioner of Income Tax, North East Region. * Commissioners of Income Tax Appeal within the Central, North East Region, particularly in Guwahati. * The Central Board of Direct Taxes (CBDT) itself. Potentially, taxpayers in the North East Region as this change dictates where certain appeals are handled. **7. Implementation Aspects (Inferred):** * **Responsible agency:** The Central Board of Direct Taxes (CBDT) is the responsible agency, as indicated by the notification's origin and signature. * **Timelines:** The amendment is deemed to have come into force on 24th February, 2021. This retrospective implementation suggests immediate action was required following the internal Office Order. * **Specific to the Changes:** The change requires administrative adjustments within the Income Tax Department to reflect the new headquarters and responsibilities assigned to the Principal Chief Commissioner and the Commissioner of Incometax Appeal Central, North East Region. **8. Expected Outcomes / Impact of Changes:** The likely intended outcome of these changes, based on the Explanatory Memorandum, is improved functional efficiency within the Income Tax Department. Relocating the Principal Chief Commissioner and reassigning responsibilities may streamline processes related to Income Tax Appeals in the North East Region. The impact on taxpayers in the North East region is difficult to ascertain from the text but should lead to better administration and perhaps swifter resolution of appeals. **9. Conclusion:** The amendment to the Income Tax notification represents a realignment of jurisdictional responsibilities for the Principal Chief Commissioner of Income Tax in the North East Region, with effect from February 24th, 2021. The changes are likely driven by internal assessments of functional efficiency within the Income Tax Department, as evidenced by the reference to an internal office order. This adjustment should lead to improved administration of income tax appeals in the North East region.

Key Entities Referenced