Rule 250 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Rule 250 of the Income-tax Rules, 2026 defines the terms running through the whole practitioner code in rules 251 to 268; rule 251 lists the six recognised accountancy examinations; rule 252 prescribes a degree in Commerce or Law.
The five definitions
Rule 250 governs rules 251 to 268 — every rule in the income-tax practitioner scheme, from the recognised qualifications through registration to the misconduct inquiry. The 1962 parallel is rule 49.
| Expression | Meaning under rule 250 |
|---|---|
| Adjudicating authority | The same meaning as in clause (1) of section 5 of the Insolvency and Bankruptcy Code, 2016 |
| Authorised income-tax practitioner | Any authorised representative as defined in section 515(3)(a)(v) or (vi) |
| Prescribed authority | For section 515(5)(b) — the Principal Chief Commissioner, Chief Commissioner, Principal Commissioner or Commissioner of Income-tax having jurisdiction over the case in the proceedings connected with which the practitioner is alleged to be guilty of misconduct |
| Register | The register of income-tax practitioners referred to in rule 255 |
| Specified authority | The Principal Chief Commissioner, Chief Commissioner, Principal Commissioner or Commissioner of Income-tax, as the case may be |
The two definitions in rule 250 name the same four ranks, and it would be easy to read them as interchangeable. They are not. The specified authority is defined at large — it maintains the register under rule 255 and issues certificates under rule 257. The prescribed authority is defined by jurisdiction over the particular case in which misconduct is alleged, and it is that officer alone who frames charges under rule 262 and passes a disqualification order under rule 265. A practitioner facing a charge should check that the officer who framed it holds jurisdiction over the proceedings in which the misconduct is said to have occurred.
Note also that "authorised income-tax practitioner" in rule 250 is narrower than "authorised representative" generally. It picks out only sub-clauses (v) and (vi) of section 515(3)(a) — the accountancy-examination route and the educational-qualification route, which are exactly what rules 251 and 252 supply.
Rule 251 — the six recognised accountancy examinations
Recognised for the purposes of section 515(3)(a)(v). The 1962 parallel is rule 50.
| No. | Examination | Conducted by |
|---|---|---|
| 1 | National Diploma in Commerce — only where the holder took Advanced Accountancy and Auditing as an elective subject for the Diploma Examination | All-India Council for Technical Education, Ministry of Education, New Delhi |
| 2 | Government Diploma in Company Secretaryship | Department of Company Affairs, Ministry of Corporate Affairs, New Delhi |
| 3 | Final examination | Institute of Company Secretaries of India, New Delhi |
| 4 | Final examination | Institute of Cost Accountants of India, constituted under the Cost and Works Accountants Act, 1959 |
| 5 | Departmental examinations for Assessing Officers Class I or Group 'A' Probationers, for Assessing Officers Class II or Group 'B' Probationers, or for promotion to Assessing Officer Class II or Group 'B' | Conducted by or on behalf of the Central Board of Direct Taxes |
| 6 | Revenue Audit Examination for Section Officers | Office of the Comptroller and Auditor General of India |
Five of the six examinations in rule 251 qualify on their own. The National Diploma in Commerce qualifies only where the holder took Advanced Accountancy and Auditing as an elective. The diploma alone is not enough, and the elective has to be evidenced — which matters at the rule 256(2) stage, where the application must be accompanied by documentary evidence of eligibility. Note too that entries 5 and 6 are departmental examinations: the scheme in rule 250 and rule 251 expressly contemplates former revenue and audit officers practising as income-tax practitioners.
Rule 252 — the prescribed educational qualifications
Prescribed for the purposes of section 515(3)(a)(vi). The 1962 parallel is rule 51.
| No. | Qualification |
|---|---|
| 1 | A degree in Commerce or Law conferred by any University in India established by law currently in force, a deemed university, or an institution with the authority to confer degrees under the University Grants Commission Act, 1956 |
| 2 | A degree in Commerce or Law conferred by any foreign university or educational institution, recognised as equivalent to a degree conferred by an Indian University, as determined by the Association of Indian Universities |
Two points of precision. The subject is confined to Commerce or Law — no other discipline qualifies under rule 252, however relevant. And a foreign degree needs an AIU equivalence determination; the institution's own standing is not the test. That is the same mechanism rule 247(7) uses for a registered valuer's "recognised University", so an adviser familiar with one will recognise the other.
How the three rules work together
- Rule 250 supplies the vocabulary for the entire practitioner code, rules 251 to 268.
- Rule 251 fills in section 515(3)(a)(v) — the accountancy-examination route.
- Rule 252 fills in section 515(3)(a)(vi) — the degree route.
- Those two sub-clauses are exactly what rule 250(b) uses to define an authorised income-tax practitioner.
- Rule 256(2) then requires the application to carry documentary evidence of eligibility under (v), (vi), (vii) or (viii).
Worked example
| Facts | Position under rule 250, rule 251 and rule 252 |
|---|---|
| National Diploma in Commerce without the Advanced Accountancy elective | Does not qualify under entry 1 |
| Company Secretary who passed the ICSI final examination | Qualifies — entry 3 |
| Cost accountant who passed the ICAI (Cost) final examination | Qualifies — entry 4 |
| Retired Assessing Officer who passed the departmental promotion examination | Qualifies — entry 5 |
| Section Officer who passed the Revenue Audit Examination | Qualifies — entry 6 |
| B.Com from an Indian deemed university | Qualifies — rule 252, entry 1 |
| B.Sc. from the same university | Does not qualify — only Commerce or Law |
| Foreign LL.B. with no AIU determination | Not established under rule 252, entry 2 |
| Misconduct alleged in a Delhi assessment; charge framed by a Mumbai Commissioner | The prescribed authority is the one with jurisdiction over that case |
Compliance checklist
- Read rule 250 first — it governs everything from rule 251 to rule 268.
- Distinguish the specified authority from the prescribed authority in any correspondence.
- Match the applicant to section 515(3)(a)(v) or (vi) before choosing a route.
- For the National Diploma in Commerce, evidence the Advanced Accountancy and Auditing elective.
- For a departmental route, keep the examination result from the CBDT or the C&AG office.
- Confirm the degree is in Commerce or Law and nothing else.
- For a foreign degree, obtain the AIU equivalence determination before applying.
- Assemble the documentary evidence rule 256(2) will require.
Common mistakes
- Treating any commerce diploma as qualifying without the elective condition in entry 1.
- Assuming a degree in economics or management satisfies rule 252.
- Relying on a foreign degree without the AIU determination.
- Using "specified authority" and "prescribed authority" interchangeably.
- Overlooking the departmental and audit examination routes in entries 5 and 6.
Which year this governs
The Income-tax Rules, 2026 are made under the Income-tax Act, 2025. The 1962 parallels are rule 49 for rule 250, rule 50 for rule 251 and rule 51 for rule 252, given for tracing only. Verify the current text before applying.