How Income Tax started in India, how the whole process went digital till ITR filing

In today’s era, filing income tax has become very easy. You can easily deposit income tax with just one click with the help of your laptop or computer, but it was not so in earlier times. You had to go to the Income Tax Office and deposit tax by standing in line. Let us know how the Income Tax filing started in India…

Income tax department started
The Income Tax Department was established in 1922. It is considered the cornerstone of the tax system in the country. After this, the Central Board of Revenue Act was brought in 1924, which handled the work of the Income Tax Department. Then gradually tax provisions were added to it and many administrative changes were also made.

income tax act 1961
An advisory committee was constituted by the government to simplify the direct tax process. By this, the Income Tax Act 1961 applicable in today’s time was brought, which came into force from April 1, 1962. In this, for the first time, revenue audit was added. Along with this, for the first time a new system was also implemented for the evaluation of the work of Income Tax officers.

Major changes in the Income Tax Act
The Central Board of Direct Taxes (CBDT) was established under the Central Board of Revenue Act 1963.
Annuity Deposit Scheme was started in 1964.
Computerization started in 1981. Initially only challans were filled through computer.
In 1984-85, three computer centers were opened in the metropolitan cities, in which the SN-73 system was used. Later it was extended to 33 cities by 1989. Since then PAN and TAN were issued through computer system only.
In 2002, the facility of filing returns through computer was started in the entire country.
In 2014, the new website of Income Tax Department www.incometaxindia.gov.in was launched, in which many features were added.

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