What is CBDT - Central Board of Direct Taxes

The  Central Board of Direct Taxes ( CBDT) is a part of Department of Revenue in the Ministry of Finance. On one hand, CBDT provides essential inputs for policy and planning of direct taxes in India,at the same time it is also responsible for administration of direct tax laws through the Income Tax Department.
It is a statutory authority functioning under the Central Board of Revenue Act, 1963. The officials of the Board in their ex-officio capacity also function as a Division of the Ministry dealing with matters relating to levy and collection of direct taxes.

The Central Board of Revenue as the Department apex body charged with the administration of taxes came into existence as a result of the Central Board of Revenue Act, 1924. Initially the Board was in charge of both direct and indirect taxes. However, when the administration of taxes became too unwieldy for one Board to handle, the Board was split up into two, namely the Central Board of Direct Taxes and Central Board of Excise and Customs with effect from 1.1.1964.

Latest News on CBDT

02 Aug 2011 : New CBDT chief, M.C. Joshi will have direct command over all cases of black money generation in the country and abroad.

30 May 2011 Govt. sets up special wing to probe tax evasion. The government announced setting up of a special wing — Directorate of Income Tax (Criminal Investigation) — to investigate criminal offences under direct tax laws.The DCI, to be set up with immediate effect, would collect information about persons and transactions connected with criminal activities and initiate prosecution proceedings against them.“The DCI will perform functions in respect to criminal matters having any financial implication punishable as an offence under any direct tax law,” the Finance Ministry said. The DCI, to be a part of the Central Board of Direct Taxes (CBDT), will seek and collect information about persons and transactions suspected to be connected with criminal activities “having cross—border, inter—state or international ramifications, that pose a threat to national security and are punishable under the direct tax laws“.