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How to Become Income Tax Officer in 2022? [Complete Guide]

As there are thousands of government departments and organizations, one of the most likable and opted, offices is that of the Income Tax. In addition, many posts under the Income Tax office offer prestige and good-paying salaries. If you are interested in holding this office, this post will answer the question; How to become an income tax officer?

This article presents in-depth information regarding this department, salaries, skills, duties, responsibilities, etc.

Let’s begin!

What is Income Tax?

An income tax is a direct tax that a government levies on the citizens’ income. The central government collects this tax. The rates are not fixed and can be changed via the Union Budget every year.

Income includes salaries, wages, rents, profits, etc., from any profession. The tax is usually collected from an employer or employee directly by an income tax officer, who then forwards the payment to the government department, the excise, or the customs department.

There are two categories of taxes in India. We have enumerated them below:

Direct Taxes: These taxes are directly levied on an individual by the government. CBDT, or Central Board of Direct Taxes, is responsible for this tax. The various types of direct taxes are

  • Income Tax
  • Gift Tax
  • Wealth Tax
  • Capital Gains Tax
  • Corporate Tax
  • Securities Transaction Tax

Among all these taxes, the most popular tax levied on individuals is the income tax. The tax rate is different for every individual as per their financial income.

Indirect Taxes: Indirect taxes are levied on individuals indirectly. Different sellers collect this tax from the public and later deliver it to the government. Some of them are:

  • GST (Goods and Services Tax)
  • VAT (Value Added Tax)
  • Sales Tax
  • Toll Tax
  • Customs Duty
  • Octroi Duty

Who is an Income Tax Officer?

An income tax officer is one of India’s most prestigious and popular jobs. Every year lakhs of students prepare for some government exams that offer this job profile, such as UPSC, SSC CGL, and ITO.

An income tax officer is deployed in the income tax department.

The Income Tax Department is a department formed by the GOI that collects and regulates taxes. Every citizen who earns an income of more than Rs. 3,00,000 per annum must pay the income tax.

An income tax officer has huge responsibilities and duties. The core work involves gathering revenue and maintaining smooth functionality of the govt. institutions. They must ensure that every liable citizen or business pays taxes to the government. An ITO is responsible for raids on individuals, businesses, or organizations who have filed the wrong ITR. Moreover, the officers must also assess the income details filled in by individuals or businesses and report if there is any foul case.

Furthermore, they are also responsible for assisting people with tax-related queries.

How to Become Income Tax Officer?

Is there any income tax officer exam? Well, there are a few exams to take to become an income tax officer, such as candidates can apply for the UPSC exam, SSC CGL, or ITO exams (departmental) that are held annually. Here is in-depth information regarding the same.

SSC CGL Exam

The most opted route for becoming an income tax officer is preparing for the SSC CGL examination. There are a total of four tiers in this exam.

Take a look at the steps to follow for taking SSC CGL.

Bachelor’s Degree

Every student who aspires to take the SSC CGL exam must hold a bachelor’s degree in any discipline. This is the minimum required qualification.

Eligibility Criteria

The income tax officer qualification is mentioned below:

Age between 18-32 years: Some age relaxations vary for different categories.

  • SC/ST: 5 years
  • OBC: 3 years
  • A person with disabilities (PWD) (Unreserved): 10 years
  • PWD (OBC) category: 13 years
  • PWD (SC/ST) category: 15 years

Citizenship requirements

  • a subject of Nepal, or
  • a subject of Bhutan, or
  • a Tibetan refugee who came to India before January 1, 1962, intending to settle in India permanently, or
  • an individual of Indian origin who has moved to India permanently from Sri Lanka, Pakistan, Burma, East African countries of Kenya, Uganda, the United Republic of Tanzania, Zambia, Ethiopia, Malawi, Zaire, or Vietnam
  • Candidates other than Indian nationality require a certificate of eligibility issued by the government of India.

Syllabus for the SSC CGL examination

The exam consists of 4 tiers; prelims, mains, descriptive, and typing (depending on the marks). After clearing all these levels, document verification and a medical exam are conducted. Following that, a merit list is released by the commission based on the post preference filled in by the candidate. All the candidates who meet the physical requirements and pass the medical exam are selected for the post based on the vacancies available.

SSC CGL Tier I Exam Pattern

S NO. Subjects Total Questions Total Marks Total Time
1 General Intelligence and Reasoning 25 50 1 Hour
2 General Awareness 25 50
3 Quantitative Aptitude 25 50
4 English Comprehension 25 50
Total 100 200

Tier I Syllabus

The candidates must make a proper SSC CGL 3-month Study Plan to clear the exam.

  • General Intelligence & Reasoning: Analogies, similarities, and differences, spatial visualization,
    spatial orientation, problem-solving, analysis, judgment, decision making, visual memory,
    discrimination, observation, relationship concepts, arithmetical reasoning, figural classification,
    arithmetic number series, non-verbal series, coding and decoding, statement conclusion, syllogistic reasoning, etc.
  • General Awareness: India and its neighboring countries, especially about sports, Economy, History, Geography, General Polity, Indian Constitution, Scientific Research, Culture, etc.
  • Quantitative aptitude: Questions will be of the 10th level. Focus on calculative speed.
  • Reading Comprehension

Tier-II Exam Pattern

S NO. Topics Total Questions Total Marks Total Time
1 Arithmetical Ability 100 200 2 hours
2 English Language and Comprehension 200 200 2 hours

Tier-II Syllabus

SSC CGL Tier-II is an online computer-based multiple-choice examination.

  • Arithmetic Ability: Problems relating to Number Systems, Computation of Whole Numbers, Decimals and Fractions and the relationship between Numbers, Fundamental Arithmetical Operations, Percentage, Ratio and Proportion, Average, Interest, Profit and Loss, Discount, Use of Table and Graphs, Mensuration, Time and Distance, Ratio and Time, etc.
  • English Language & Comprehension: Error recognition, fill in the blanks (using verbs, prepositions, articles, etc), Vocabulary, Spellings, Grammar, Sentence Structure, Synonyms, Antonyms, Sentence Completion, Phrases and Idiomatic use of Words, etc. There will be a question on passages and comprehension of passages also.

SSC CGL Tier III Exam Pattern

Topic Total Marks Total Time
Descriptive Paper in English/Hindi (Writing of Essay, Precis, Letter, Application, etc.) 100 marks 1 hour or 60 minutes

Tier III Syllabus

Tier-III of the SSC CGL exam is a descriptive exam to test the written skills of the candidates in English/Hindi. The mode of examination is offline, and students are required to write essays/précis/applications, letters, etc., in this exam. The exam carries 100 marks, and the time allotted is 60 minutes.

SSC CGL Tier IV Syllabus

  • DEST (Data Entry Speed Test): For the post of Tax Assistant (Central Excise and Income Tax), the DEST Exam through the SSC CGL exam aims to check the pace of the candidate. The applicants must copy the article in English provided by the Commission on their computer devices. A candidate is required to type 2000 words in 15 minutes.
  • CPT (Computer Proficiency Test): Word Processing, Spread Sheets, and Generation of slides are the three modules vital for this exam.

Register for the SSC CGL Exam

The SSC conducts the CGL exam annually. Lakhs of aspirants take part in this registration. The candidates can apply online for this examination by visiting the official website of SSC; ssc.nic.in.

The application fee is INR 100. All the candidates belonging to SC/ST/PWD/Ex-servicemen category are exempted from this. In addition, there are two sections of the SSC CGL application form. The first is a one-time registration, and the second is application filling.

Departmental Exams

After selection as the Income Tax Inspector via SSC CGL, the candidate has the opportunity to apply for the post of Income Tax Officer through departmental exams. In addition, the eligibility to take this exam is to serve as an income tax inspector for 3 years.

In addition, the Directorate of Income Tax also releases a notification for the departmental exams. For the year 2022, these categories/posts are eligible for taking this exam as per the official notification:

  1. T.A. (having passed Computer Test)
  2. Steno Grade I, II
  3. Sr. T.A.
  4. LDC including Hindi Typist
  5. Notice server (having passed Computer Test)
  6. MTS (having passed Computer Test)

What are the Duties of an Income Tax Officer?

An income tax officer’s core duties and responsibilities are as follows:

  • Ensure that individuals and companies pay their taxes fairly and on time.
  • Collects the revenue for the government and maintains tax accounts from different departments.
  • Handles any unlawful account investigation and sends notices to the defaulter.
  • Calculates the actual income of individuals/companies who have paid taxes to report unfair practices.
  • Conducts raids on people/organizations who have been a part of providing wrong/ill information to the government.
  • Investigates and analyze the assets of some people or companies via third parties.
  • Handles court information for the status of financial information, mortgages, etc.

What is the Salary of an Income Tax Officer?

The income tax officer’s salary varies from place to place. However, the basic sample of how the pay is calculated is tabulated below:

Income Tax Officer Salary Salary (Per Month)
Basic Pay INR 44,900
DA (Dearness Allowance) INR 7,633
HRA (House Rent Allowance) INR 10,776
DA on TA INR 612
TA INR 3,600
Gross Earning INR 67,521
NPS Deduction (10%) INR 5,253
Total Deduction INR 5,633
Net Earning INR 61,888
Government Contribution INR 7,355

Skills for an Income Tax Officer

An aspiring income tax officer must hold the following skills to master this job:

  • Good communication skills: An ITO has to deal directly with people. Moreover, they also have to deal with accountants, businessmen, attorneys, etc. Therefore, it is crucial for them to have good communication skills.
  • Calculative abilities: It will be highly beneficial for individuals to hold expertise in arithmetic calculations as there are plenty of financial records to work on.
  • Time management: There can be several tasks in one day. Some are already in the queue, and some are emergency tasks. Hence, it is important to manage time efficiently to conclude tasks in the best possible way.
  • Problem-solving skills: You must assess the data, information, or even people in numerous situations. The income tax officers are expected to have efficient problem-solving skills to keep the work running smoothly.
  • Decision-making skills: Individuals must be able to make decisions instantly and, at the same time, logically. This is the key factor in handling pressurized situations.

Perks of ITO

An income tax officer is bestowed with various perks and allowances.

  1. DA (Dearness Allowance) on total pay is approximately 107%
  2. Paid Leaves
  3. Pension
  4. Increments
  5. Medical Benefits
  6. House Rent Allowance (HRA)
  7. Transport Allowance (TA)
  8. Fuel provision: 30L of Petrol
  9. Mobile Bill (up to some amount decided by the government)

Income Tax Officer Selection Process

As mentioned above, the candidates must take the SSC CGL exam to become income tax officers. Here is a detailed selection process for a better understanding:

Tier Exam Type Mode of Examination
Tier – I

(Preliminary Exam)

Objective Multiple Choice Online (Computer-Based)
Tier – II (Main Exam) Objective multiple choice Online (Computer-Based)
Tier – III Descriptive Paper in English / Hindi (Letter/ Essay/ Precis) Pen and Paper Mode
Tier – IV Ability Test/ Computer Proficiency Test Online

Conclusion

In a nutshell, candidates must prepare well for the SSC CGL examination to become income tax officers. There are various other posts in the income tax department as well. The career path of an ITO comes with a lot of duties and responsibilities, as discussed above. If you think you can take up the role well and contribute to the betterment of society, then you must start your preparation!

This post guides you with every detail in order to become an income tax officer. We hope that the information assists you in the best possible way!

Good luck in all your future endeavors!

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Frequently Asked Questions (FAQs)

Question: What is the Exam for Income Tax Officer?

Answer: Candidates must clear the SSC CGL exam to become an income tax officer.

Question: Can we join Income tax after the 12th?

Answer: No, it is mandatory for you to hold an undergraduate degree to become an income tax officer.

Question: Which post is highest in the income tax department?

Answer: Principal Chief Commissioner of Income Tax is the highest post in the income tax department.

Question: How can I become an income tax officer after B.Com?

Answer: It is advised to the candidates to pass the SSC CGL examination.

Question: Is a commerce student eligible for income tax?

Answer: Yes, a commerce student with an undergraduate degree can appear for the SSC CGL exam. A candidate can hold office in the income tax department through this exam based on their marks and rank.

Question: How to become Income Tax Officer through UPSC?

Answer: By clearing the UPSC exam, a candidate can directly enter the IRS or Indian Revenue Services and serve as a Grade 1 officer.

Anamika Kalwan

I am a logophile who loves to write. With an experience of 3+ years, I have passionately contributed my expertise and knowledge to create content in the field of Technical and E-learning based Content Writing. I aim to deliver my absolute best and add value to my organization through my skill set.

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