Rules 152 to 156 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.
Rules 152 to 156 of the Income-tax Rules, 2026 are five short rules covering release of remaining seized assets, distraint and sale, the Form No. 87 information, the four disclosure forms, and the section 259 authority.
The first of rules 152 to 156 — release of remaining assets
The whole rule: "Any assets or proceeds thereof which remain after the liabilities referred to in section 250(1) are discharged, shall be forthwith made over or paid to the person, from whose custody the assets were seized, in the presence of two respectable witnesses." The 1962 parallel is rule 112C.
The first of rules 152 to 156 packs in three separate obligations. The release must be forthwith — not at the department's convenience. It must be to the person from whose custody the assets were seized, which is not necessarily the assessee or the owner. And it must be in the presence of two respectable witnesses, so the handover is an attested event with a record, not an internal accounting entry.
Rule 153 — distraint and sale
Where any distraint and sale of movable property are to be effected by an Assessing Officer or Tax Recovery Officer authorised for the purpose, they shall be made as far as may be, in the same manner as attachment and sale of any movable property attachable by actual seizure, and the provisions of rule 225 relating to attachment and sale shall, so far as may be, apply.
The rule has no 1962 parallel in the mapping table. It works entirely by reference: the substantive procedure is rule 225, applied with the modifications the words "so far as may be" allow.
Rule 154 — the Form No. 87 information
The shortest of rules 152 to 156: "The information under section 254(1) shall be furnished in Form No. 87." The 1962 parallel is rule 112E. No date, no manner and no contents — all of those come from the section and the form.
Rule 155 — disclosure of information about an assessee
| Sub-rule | Situation | Form |
|---|---|---|
| (1) | Application to the Chief Commissioner or Commissioner under section 258(2) for information about an assessee, in respect of any assessment made either under the Act or under the Income-tax Act, 1961 as it existed prior to its repeal | 88 |
| (2) | The information furnished by the Chief Commissioner or Commissioner | 89 |
| (3) | Where it is not possible to furnish the information because the relevant assessment has not been completed | 90 |
| (4) | Where the Chief Commissioner or Commissioner is satisfied that it is not in the public interest to give the information | 91 |
Forms 90 and 91 are not interchangeable. Form No. 90 is a timing answer — the assessment is not complete, so the information does not yet exist; the applicant may come back. Form No. 91 is a substantive refusal on public interest grounds, and it does not depend on the state of the assessment. An applicant who receives one should read carefully which of the two it is, because only the first invites a fresh application.
The reference in sub-rule (1) to assessments under the repealed 1961 Act matters: the disclosure machinery reaches back to assessments made before the change of statute, so the older records remain within the section 258(2) route.
The last of rules 152 to 156 — the section 259 authority
The prescribed income-tax authority under section 259 shall be an income-tax authority not below the rank of Assistant Commissioner of Income-tax, who has been authorised by the Central Board of Direct Taxes to act as such authority for the purposes of that section. The 1962 parallel is rule 12D.
Two conditions, both necessary: a minimum rank, and a specific CBDT authorisation. Seniority alone does not make an officer the prescribed authority.
Worked example
| Facts | Position under rules 152 to 156 |
|---|---|
| Rs 40 lakh of seized cash remains after the section 250(1) liabilities are met | Paid forthwith to the person from whose custody it was seized, before two respectable witnesses |
| Assets seized from a custodian who is not the owner | Returned to the custodian — the rule follows custody, not title |
| Movable property to be distrained and sold | Procedure of rule 225 applied so far as may be |
| Information required under section 254(1) | Form No. 87 |
| Applicant seeks information about a 1961 Act assessment | Within the section 258(2) route; Form No. 88 |
| Assessment still pending | Form No. 90 |
| Disclosure withheld on public interest grounds | Form No. 91 |
| Deputy Commissioner not authorised by the CBDT | Not the prescribed authority under section 259 |
Compliance checklist
- Release surplus assets forthwith, to the person from whose custody they were seized.
- Arrange two respectable witnesses and record the handover.
- Follow rule 225 for any distraint and sale of movable property.
- Use Form No. 87 for section 254(1) information.
- Apply in Form No. 88 under section 258(2), including for pre-repeal assessments.
- Distinguish a Form No. 90 deferral from a Form No. 91 public interest refusal.
- Check both the rank and the CBDT authorisation of a section 259 authority.
Common mistakes
- Returning surplus assets to the owner rather than the person from whose custody they were seized.
- Releasing without witnesses.
- Treating Form No. 90 as a final refusal.
- Assuming pre-2026 assessments are outside the disclosure route.
- Accepting rank alone as establishing the section 259 authority.