Sections 236 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.
Sections 236 to 240 open Chapter XIV on tax administration. They list the classes of income-tax authorities, say who appoints them, let the Board direct which authority is subordinate to which, give the Board its power to issue orders and instructions (and to relieve genuine hardship), and require the Board to adopt a Taxpayer's Charter. This article explains them as per the Income-tax Act, 2025 as amended by the Finance Act, 2026.
The Act names twelve classes of income-tax authority, from the Central Board of Direct Taxes to Inspectors. The Central Government appoints them, and may authorise others to appoint those below Deputy Commissioner rank. The Board can issue orders and instructions, but cannot direct a particular assessment or interfere with the appellate discretion of the Joint Commissioner (Appeals) or Commissioner (Appeals). It can relax certain time limits and Chapter IV or VIII requirements to avoid genuine hardship, and must adopt a Taxpayer's Charter.
By section 1(3), the Act is in force from 1 April 2026, save as otherwise provided. No Finance Act, 2026 amendment is named for these sections. Later amendments, rules and notifications should be checked. If you need advice on a notice or an authority's action, see our legal consultation service.
Section 236: classes of income-tax authorities
For the purposes of the Act, there are the following classes of income-tax authorities:
| Clause | Authority |
|---|---|
| (a) | The Central Board of Direct Taxes constituted under the Central Boards of Revenue Act, 1963 |
| (b) | Principal Directors General of Income-tax or Principal Chief Commissioners of Income-tax |
| (c) | Directors General of Income-tax or Chief Commissioners of Income-tax |
| (d) | Principal Directors of Income-tax or Principal Commissioners of Income-tax |
| (e) | Directors of Income-tax or Commissioners of Income-tax or Commissioners of Income-tax (Appeals) |
| (f) | Additional Directors of Income-tax or Additional Commissioners of Income-tax or Additional Commissioners of Income-tax (Appeals) |
| (g) | Joint Directors of Income-tax or Joint Commissioners of Income-tax or Joint Commissioners of Income-tax (Appeals) |
| (h) | Deputy Directors of Income-tax or Deputy Commissioners of Income-tax |
| (i) | Assistant Directors of Income-tax or Assistant Commissioners of Income-tax |
| (j) | Income-tax Officers |
| (k) | Tax Recovery Officers |
| (l) | Inspectors of Income-tax |
The Central Boards of Revenue Act, 1963 is another law; the reader should check it for the Board's constitution. The Act uses "Board" for the Central Board of Direct Taxes.
Section 237: appointment
- (1) The Central Government may appoint such persons as it thinks fit to be income-tax authorities.
- (2) The Central Government may, subject to the rules and its orders regulating conditions of service in public services and posts, authorise the Board, or a Principal Director General or Director General, or a Principal Chief Commissioner or Chief Commissioner, or a Principal Director or Director, or a Principal Commissioner or Commissioner, to appoint income-tax authorities below the rank of a Deputy Commissioner or Assistant Commissioner.
- (3) Subject to those rules and orders, an income-tax authority authorised by the Board may appoint such executive or ministerial staff as is necessary to assist it.
Section 238: control
The Board may, by notification, direct that any income-tax authority or authorities specified in the notification shall be subordinate to such other authority or authorities as specified. What has been notified is not in the text consulted.
Section 239: instructions to subordinate authorities
The general power: sub-section (1)
The Board may issue such orders, instructions and directions to other income-tax authorities as it considers fit for the proper administration of the Act, and those authorities and all other persons employed in its execution shall observe and follow them.
Two limits: sub-section (2)
No such order, instruction or direction shall be issued so as to (a) require an income-tax authority to make a particular assessment or to dispose of a particular case in a particular manner, or (b) interfere with the discretion of the Joint Commissioner (Appeals) or Commissioner (Appeals) in the exercise of his appellate functions.
Without prejudice powers: sub-section (3)
| Clause | Power of the Board |
|---|---|
| (a) | If it considers it necessary or expedient for the proper and efficient management of assessment and collection of revenue, to issue general or special orders for any class of incomes or cases, including by way of relaxation of any of the provisions of sections 263, 270, 271, 279, 280, 287, 288, 298, 398(3), 406, 407, 408, 423, 424, 425, 427, 428, 439, 448 or 449 or otherwise. These orders set out directions or instructions (not being prejudicial to assessees) on the guidelines, principles or procedures to be followed by other authorities in assessment or collection or in initiating penalty proceedings; and, if the Board thinks it necessary in the public interest, may be published and circulated in the prescribed manner |
| (b) | If it considers it desirable or expedient to avoid genuine hardship, to authorise, by general or special order, any income-tax authority (other than a Joint Commissioner (Appeals) or Commissioner (Appeals)) to admit an application or claim for any exemption, deduction, refund or other relief after the expiry of the period specified in the Act, and deal with it on merits as per law |
| (c) | If it considers it desirable or expedient to avoid genuine hardship, to relax, by general or special order for reasons specified in it, any requirement in Chapter IV or VIII where the assessee has failed to comply with a requirement for claiming a deduction, on two conditions: (i) the default was due to circumstances beyond the assessee's control, and (ii) the assessee has complied with the requirement before the completion of assessment for the tax year in which the deduction is claimed |
Parliament: sub-section (4)
The Central Government shall cause every order under sub-section (3)(c) to be laid before each House of Parliament.
Several of the sections named in sub-section (3)(a) are explained in our posts, for instance section 270, processing and assessment and section 279, income escaping assessment. What orders the Board has actually issued is not in the text consulted.
Section 240: the Taxpayer's Charter
The Board shall adopt and declare a Taxpayer's Charter and issue such orders, instructions, directions or guidelines to other income-tax authorities as it considers fit for the administration of the Charter. The section does not itself set out the text of the Charter or any rights; the Charter is whatever the Board adopts and declares.
What the Board can and cannot do under section 239
| Can | Cannot |
|---|---|
| Issue orders, instructions and directions for proper administration (sub-section (1)) | Require an authority to make a particular assessment or dispose of a case in a particular manner (sub-section (2)(a)) |
| Issue guidelines, principles and procedures, not prejudicial to assessees (sub-section (3)(a)) | Interfere with the discretion of the Joint Commissioner (Appeals) or Commissioner (Appeals) in appellate functions (sub-section (2)(b)) |
| Authorise admission of a late application or claim to avoid genuine hardship (sub-section (3)(b)) | Authorise a Joint Commissioner (Appeals) or Commissioner (Appeals) to admit such a late claim under that clause (sub-section (3)(b)) |
| Relax a Chapter IV or VIII requirement where default was beyond the assessee's control and is cured before completion of assessment (sub-section (3)(c)) | Relax it if either of the two conditions is not met |
A worked example
The name and facts are assumed; the two conditions are from section 239(3)(c).
Ms. Ishani Rao could not meet a requirement for claiming a Chapter VIII deduction in the tax year because of circumstances beyond her control. She meets the requirement before her assessment for that tax year is completed.
- If the Board has issued a general or special order under section 239(3)(c) for reasons specified in it, both conditions in clauses (i) and (ii) are satisfied: the default was beyond her control and she complied before completion of assessment.
- If she had complied only after the assessment was completed, condition (ii) would not be met.
- The Central Government must lay every order under clause (c) before each House of Parliament.
The text does not say which orders exist or what they cover. For that, the reader must check the Board's orders separately.
Need help with an authority's action or an order?
Understanding which authority has acted, and whether a Board order helps a late claim, is often the first step in answering a notice. Our team can look at the facts with you under our legal consultation service.
Key takeaways
- Section 236 lists twelve classes of income-tax authorities, starting with the Central Board of Direct Taxes.
- The Central Government appoints authorities and may authorise others to appoint those below Deputy Commissioner or Assistant Commissioner rank.
- The Board can notify which authority is subordinate to which (section 238).
- Board orders under section 239 cannot dictate a particular assessment or interfere with appellate discretion.
- Section 239(3)(b) and (c) deal with genuine hardship; clause (c) orders go before Parliament.
- The Board must adopt and declare a Taxpayer's Charter (section 240).
Read next
- Sections 241 and 242: jurisdiction of income-tax authorities and Assessing Officers
- Sections 243 to 245: transfer of cases, change of incumbent and faceless jurisdiction
- Section 246: summons and civil court powers
- Chapter XIV: tax administration
Disclaimer: Based on the Income-tax Act, 2025 (30 of 2025) as amended by the Finance Act, 2026, as consulted on 2 October 2026. It explains the words of the Act only; the Income-tax Rules, 2026, notifications, circulars, later amendments and the way the tax authorities and courts apply these provisions should be checked. This article is general information, not legal advice; check the official text before acting.