The Central Boards of Revenue Act, 1963
Administered Ministry: Ministry of Finance / Department of Revenue
Act details
| Short title | The Central Boards of Revenue Act, 1963 |
|---|---|
| Long title | An Act to provide for the constitution of separate Boards of Revenue for Direct Taxes and for Excise and Customs and to amend certain enactments for the purpose of conferring powers and imposing duties on the said Boards. |
| Act number | 54 of 1963 |
| Act year | 1963 |
| Enactment date | 30 Dec 1963 |
| Ministry | Ministry of Finance / Department of Revenue |
| Department | Department of Revenue |
| Jurisdiction | Central (Parliament of India) |
| Sections | 8 |
| Status | Not repealed |
| Last checked on India Code | 4 Nov 2026 |
| Source | India Code, Government of India |
Summary
Summary of the Central Boards of Revenue Act, 1963
Key Provisions
1. Constitution of Boards
• Central Board of Direct Taxes (CBDT)
• Central Board of Indirect Taxes and Customs (CBIC) (previously Central Board of Excise and Customs, amended in 2018)
• Membership: Up to 7 members appointed by the Central Government for each Board.
2. Tax Domains
• Direct Taxes (CBDT): Includes Income-tax, Wealth-tax, Estate Duty, Gift-tax, and other taxes as specified or declared by the Central Government.
• Indirect Taxes and Customs (CBIC): Implies oversight of excise, customs, and other indirect taxes, though detailed definitions are not provided in the excerpt.
3. Operational Framework
• Powers and Duties: Exercised under the control of the Central Government, with duties entrusted by law or by the Government.
• Rule Making: The Central Government may make rules to regulate the transaction of business by each Board.
4. Legislative Amendments
• Enactment Updates: Modifications to various Acts (e.g., Estate Duty Act, 1953; Customs Act, 1962) to align with the new Board structures.
• Transfer of Functions: Responsibilities of the old Central Board of Revenue are divided based on tax type.
5. Procedural and Transitional Provisions
• Transfer of Pending Proceedings: Cases before the old Board are transferred to the appropriate new Board, with disputes resolved by the Central Government.
• Difficulty Resolution: The Central Government can issue orders to address implementation challenges.
• Repeal and Saving Clause: Repeals the Central Board of Revenue Act, 1924, while safeguarding previous actions.
Legislative history
Legislative History:
The Central Boards of Revenue Act, 1963
● Act Title - The Central Boards of Revenue Act, 1963
● Act Number / Year - 54 of 1963
● Act ID (India Code) - 196354
● Presidential Assent Date - December 30, 1963
● Enforcement Date - January 1, 1964
● Nodal Ministry - Ministry of Finance
Precedent & Historical Rationale
● Bifurcation of Tax Administration Bodies - Enacted to reconstitute the apex tax administration body, replacing the single Central Board of Revenue (established under the Central Board of Revenue Act, 1924) with two distinct, specialized statutory bodies.
● Specialization in Direct and Indirect Taxes - Formulated to bifurcate revenue governance by creating the Central Board of Direct Taxes (CBDT) to administer direct taxes (like Income Tax and Wealth Tax) and the Central Board of Excise and Customs (CBEC)—now renamed the Central Board of Indirect Taxes and Customs (CBIC)—to manage customs duties, central excise, and indirect taxation.
Parliamentary Trajectory & Enactment
● Formulation - Introduced by the Ministry of Finance to address the massive growth in tax administration complexity, volume, and statutory responsibilities following post-independence economic expansion.
● Parliamentary Passage - Debated and passed by both Houses of Parliament (Third Lok Sabha and Rajya Sabha) during the November–December 1963 winter session.
● Presidential Assent - Received Presidential Assent on December 30, 1963.
● Enforcement - Enforced on January 1, 1964.
Source - Official Record of Parliament, India Code, and Ministry of Finance.