Income Tax Day 2023
Every year on July 24, the Income Tax Department of India observes Income Tax Day or ‘Aaykar Diwas’ to mark the historic introduction of income tax in the country. On this day in 1860, Sir James Wilson introduced income tax in India to compensate for the losses incurred during the first war of Independence. This year marks the 163rd anniversary of Income Tax Day, and it holds significant importance for both the government and taxpayers. To commemorate this occasion, the Central Board of Direct Taxes (CBDT) organizes various events and activities, including seminars, workshops, and outreach programs, aimed at raising awareness about income tax and its significance. Here in this article, we have covered all the information on Income Tax Day 2023 or ‘Aaykar Diwas’ 2023.
‘Aaykar Diwas’ History
The History of Income Tac Day 2023 must be known to all the candidates. It was on July 24, 1860, Sir James Wilson introduced income tax for the first time in India. Wilson did this to compensate for the losses suffered by the British regime during the First War of Independence in 1857. Income Tax Day or ‘Aaykar Diwas’ was celebrated for the first time on July 24, 2010, to mark 150 years of income tax in India.
“Since income tax was first levied as a duty in the year 1860 and the authority to levy that duty came into force on July 24 of that year, it is proposed to celebrate this day as Income Tax Investiture Day,” a finance ministry official said in July 2010.
Income Tax In India
In February 2023, the finance minister presented the budget for the upcoming fiscal year, introducing several changes to the tax regime. Notably, the finance minister streamlined the number of tax slabs, making the system simpler and more efficient. Additionally, the standard deduction benefit was extended to both the salaried class and pensioners, aiming to provide them with enhanced tax benefits. These measures were part of the government’s efforts to reform the tax structure and ensure a more taxpayer-friendly and equitable system. Here is the latest slab structure for Income Tax in India.
|Income Tax In India|
|Income Range||Tax Rate|
|<₹ 3,00,000||No Tax|
|₹ 3,00,001 to ₹ 6,00,000||5%|
|₹ 6,00,001 to ₹ 9,00,000||10%|
|₹ 9,00,001 to ₹ 12,00,000||15%|
|₹ 12,00,001 to ₹ 15,00,000||20%|
Income Tax Day 2023: Central Board of Direct Taxes (CBDT)
The Central Board of Direct Taxes (CBDT) operates as a statutory authority, operating under the Central Board of Revenue Act, of 1963. In addition to its primary role in overseeing matters related to the levy and collection of direct taxes, the officials of CBDT also function in their ex-officio capacity as a Division of the Ministry. This allows them to effectively handle and manage various aspects concerning direct taxes within the country. Here is a table with important details on the Central Board of Direct Taxes (CBDT).
|Full Form||Central Board of Direct Taxes|
|Functioning Under||Central Board of Revenue Act, 1963|
|Ex-Officio Functioning||Ministry dealing with direct tax matters|