Rule 257 of the Income-tax Rules, 2026

Where this rule sits

Rule 257 gives effect to Section 515 of the Income-tax Act, 2025. A rule cannot go beyond the section it serves: where the two seem to differ, the section governs.

← Rule 256  ·  Rule 258 →

What this rule does

The rule tells the specified authority what to do when it is satisfied of two things: that the applicant fulfils the requirements of section 515(3)(a)(v) or (vi) or (vii) or (viii), and that he has been practising before income-tax authorities for not less than one year on the date of the application. On being so satisfied, the specified authority shall enter the applicant's name in the register, in such form and manner as may be specified by the Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems), as the case may be, with the prior approval of the Board, and issue him a certificate of registration.

Why it is there

Section 515(3)(a) describes several categories of person who may act in the capacity it defines, but says nothing about how such a person is put on record. The rule supplies the registration step for four of those categories and adds a condition the section does not contain — a year of practice before income-tax authorities — so that entry in the register carries some evidence of actual practice and not merely of qualification.

Who it applies to

• An applicant who fulfils the requirements of section 515(3)(a)(v), (vi), (vii) or (viii)
• The specified authority maintaining the register and issuing the certificate of registration

The figures, and what each one turns on

What this means in practice

Both limbs must be satisfied together: qualification under one of the four sub-clauses of section 515(3)(a) is not enough without a year of practice before income-tax authorities, and the year is measured on the date of the application, so it cannot be completed while the application is pending. Once the authority is satisfied, the rule leaves it no discretion — it shall enter the name in the register and issue the certificate. The rule does not itself prescribe the form of the register or the certificate; that is left to be specified by the Principal Director General or Director General of Income-tax (Systems) with the prior approval of the Board, so no format can be read out of the rule.

An example

A person falling within section 515(3)(a)(vii) applies for registration having appeared before income-tax authorities for fourteen months. The specified authority, satisfied on both counts, enters his name in the register in the form specified by the Principal Director General of Income-tax (Systems) and issues him a certificate of registration. An applicant with the same qualification but ten months of practice on the date of his application does not meet the rule and must apply again later.

Where you meet this rule

A reader meets it in the application for registration and in the certificate of registration issued on it, and thereafter whenever the register is checked to see whether a person is registered.

The words themselves

What people get wrong

• Assuming qualification under section 515(3)(a) is enough. The rule adds a year of practice before income-tax authorities.
• Counting the year up to the date of decision. It is measured on the date of the application.
• Applying the rule to every category in section 515(3)(a). It covers sub-clauses (v), (vi), (vii) and (viii).
• Looking in the rule for the form of the register or certificate. It is as may be specified by the Principal Director General or Director General of Income-tax (Systems) with the prior approval of the Board.