Section 258 of Income Tax Act 2025
- (1)The Board or any other income-tax authority specified by it by an order in this behalf, may furnish or cause to be furnished to—
- (a)any officer, authority or body performing any functions under any law relating to the imposition of any tax, duty or cess, or dealings in foreign exchange as defined in section 2(n) of the Foreign Exchange Management Act, 1999 (42 of 1999); or
- (b)such officer, authority or body performing functions under any other law, if in the opinion of the Central Government it is necessary so to do in the public interest, as it may specify by notification in this behalf,
any such information received or obtained by any income-tax authority in the performance of its functions under this Act, as may, in the opinion of the Board or other income-tax authority, be necessary for the purpose of enabling the officer, authority or body, to perform his or its functions under that law.
- (2)The Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner may furnish or cause to be furnished to a person, the information relating to any assessee received or obtained by any income-tax authority in the performance of his functions under this Act,––
- (a)on an application made by such person to the aforesaid authorities in the prescribed form and on being satisfied that it is in the public interest so to do; and
- (b)the decision of the Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner in this behalf, shall be final and shall not be called in question in any court of law.
- (3)Irrespective of anything contained in sub-section (1) or (2) or any other law in force, the Central Government may, having regard to the practices and usages, customary or any other relevant factors, by notification, direct that no information or document shall be furnished or produced by a public servant in respect of such matters relating to such class of assessees except to such authorities as specified in that notification.
Summary
- The Central Board of Direct Taxes (the Board) or specified tax authorities can share taxpayer information with officers or bodies enforcing laws related to taxes, duties, cesses, or foreign exchange.
- Information can also be shared with officers working under other laws if the Central Government determines it is in the public interest and issues a notification.
- Senior tax officials (such as a Principal Chief Commissioner or Commissioner) can provide taxpayer information to an individual applicant if they apply in the prescribed form and the official is satisfied it is in the public interest.
- The decision of these senior officials to disclose or withhold taxpayer information is final and cannot be challenged in any court of law.
- The Central Government can block the sharing of documents or info about certain classes of taxpayers by issuing a prohibitory notification based on customary practices or usages.
Practical examples
FAQ
1. Who can request my tax details under Section 258?
Officers or authorities administering laws related to taxes, duties, cesses, or foreign exchange dealings can receive information. Also, any person can apply for specific information if a senior tax official finds it to be in the public interest.
2. Does the "Section 2" referenced in Section 258 belong to the Income-tax Act?
No. The cross-reference is to "section 2(n) of the Foreign Exchange Management Act, 1999" to define foreign exchange. It does not refer to Section 2 (Definitions) of the Income-tax Act.
Test yourself
Q1.Under Section 258, whose decision regarding the disclosure of taxpayer information is final and cannot be questioned in any court of law?
Q2.Section 258(1)(a) cross-references section 2(n) of which specific legislation?
Q3.Under Section 258(3), the Central Government can issue a notification to restrict disclosure of information by having regard to what factors?