Amended and updated notes on section 264A of Income Tax Act 1961 as amended by the Finance Act 2022 and Income-tax Rules, 1962. Detail discussion on provisions and rules related to Faceless revision of orders.
Chapter XX (Sections 246 to 269) of the Income Tax Act 1961 deals with the provisions related to appeals and revision . Section 264A of IT Act 1961 provides for Faceless revision of orders.
Recently, we have discussed in detail section 264 (Revision of other orders) of IT Act 1961. Today, we learn the provisions of section 264A of Income-tax Act 1961. The amended provision of section 264A is effective for financial year 2022-23 relevant to the assessment year 2023-24.
In this article, you will learn detail of the provisions of section 264A of the Income Tax Act, 1961 Bare Act read with the Income-tax Rules, 1962 as provided by Ministry of Law and Justice, Government of India.
Section-264A: Faceless revision of orders
Section 264A(1) of Income Tax Act
The Central Government may make a scheme, by notification in the Official Gazette, for the purposes of revision of orders under section 263 or section 264, so as to impart greater efficiency, transparency and accountability by—
- (a) eliminating the interface between the income-tax authority and the assessee or any other person to the extent technologically feasible;
- (b) optimising utilisation of the resources through economies of scale and functional specialisation;
- (c) introducing a team-based revision of orders, with dynamic jurisdiction.
Section 264A(2) of Income Tax Act
The Central Government may, for the purpose of giving effect to the scheme made under sub-section (1), by notification in the Official Gazette, direct that any of the provisions of this Act shall not apply or shall apply with such exceptions, modifications and adaptations as may be specified in the notification:
Provided that no direction shall be issued after the 31st day of March, 2022.
Section 264A(3) of Income Tax Act
Every notification issued under sub-section (1) and sub-section (2) shall, as soon as may be after the notification is issued, be laid before each House of Parliament.
[Section 264A has been inserted w.e.f. 01.11.2020 by the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020]