Income Tax 2025

Appearance

Certain offences to be non cognizable. ​

492 ​

Irrespective of anything contained in the Bharatiya Nagarik Suraksha Sanhita, 2023, an offence punishable under section 476, 478, 479, 480, 482 or 484 shall be deemed to be non-cognizable within the meaning of that Sanhita.

Explanation

Section Summary: ​

This section specifies that certain offences under the Income Tax Act, as listed (sections 476, 478, 479, 480, 482, and 484), are deemed non-cognizable. This means that for these offences, a police officer cannot arrest the accused without a warrant, and prior permission from a magistrate is required to initiate an investigation. This provision overrides any conflicting provisions in the Bharatiya Nagarik Suraksha Sanhita, 2023 (the new criminal procedural code).

Key Changes: ​

  • Non-cognizable status: The listed offences are explicitly classified as non-cognizable, which is a change from the previous framework where such classification might have been ambiguous or subject to interpretation.
  • Override of Bharatiya Nagarik Suraksha Sanhita, 2023: This section ensures that the non-cognizable status of these offences applies regardless of any conflicting provisions in the new criminal procedural code.

Practical Implications: ​

  • For taxpayers and businesses: Individuals or entities accused of offences under the listed sections (e.g., falsification of accounts, false statements, etc.) cannot be arrested without a warrant. This provides a layer of protection against immediate police action.
  • For enforcement authorities: Police or tax authorities must obtain a magistrate's approval before arresting or investigating individuals for these offences. This adds a procedural safeguard, ensuring that investigations are not initiated arbitrarily.

Critical Concepts: ​

  • Non-cognizable offence: An offence where police cannot arrest without a warrant and cannot investigate without court permission. This contrasts with cognizable offences, where police can arrest without a warrant and initiate investigations independently.
  • Bharatiya Nagarik Suraksha Sanhita, 2023: The new criminal procedural code replacing the Code of Criminal Procedure (CrPC), 1973. This section ensures that the non-cognizable status of the listed offences is preserved under the new code.

Compliance Steps: ​

  • For taxpayers: Ensure compliance with tax laws to avoid falling under the listed offences (e.g., maintaining accurate records, avoiding false statements).
  • For authorities: Follow the procedural requirement of obtaining a magistrate's warrant or permission before arresting or investigating individuals for these offences.

Examples: ​

  • Scenario 1: A business owner is accused of falsifying accounts under Section 476. Since this offence is non-cognizable, the police cannot arrest the owner without a warrant. The tax authorities must first approach a magistrate to obtain permission to investigate or arrest.
  • Scenario 2: An individual is suspected of making a false statement under Section 479. The police cannot take immediate action; they must seek a magistrate's approval before proceeding with an arrest or investigation.