CBDT to issue SOP for Social Media Access to Taxmen, hints Reports
The SoP is aimed at removing ambiguities in interpretation and ensuring uniform application of the law across the country.
The Central Board of Direct Taxes (CBDT) is likely to come out with a detailed Standard Operating Procedure (SoP) that will guide tax officials on the extent of access to social media and digital platforms while carrying out search and seizure operations under the new Income Tax Act, 2025, according to reports.
The new legislation, which will come into force from April 2025, has prompted the board to review the protocols for handling taxpayers’ digital data, including social media accounts, to ensure consistency, fairness, and adherence to privacy safeguards.
Senior officials clarified that the new law does not confer any fresh powers on taxmen but merely codifies and makes explicit the scope of existing provisions relating to access of electronic records. The SoP is aimed at removing ambiguities in interpretation and ensuring uniform application of the law across the country.
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Concerns have been raised by tax professionals and industry bodies regarding possible overreach in the interpretation of “digital access,” which, they fear, could extend to personal communication and social media usage of taxpayers. The CBDT, however, has maintained that rights of citizens remain fully protected and that the proposed SoP will expressly define the limits within which tax officers may operate.
Officials indicated that the SoP will lay down clear guidelines on when and how taxmen can seek access to digital devices, encrypted data, or social media accounts. It will also specify safeguards such as requiring higher-level approvals, reliance on judicial pronouncements, and ensuring that only relevant information is examined.
“The powers to access digital documents already exist under the Income Tax Act. What the new SoP will do is to spell out these provisions in an explicit, structured, and non-discretionary manner,” a senior board member was quoted as saying.
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The move comes amid broader efforts to align the operational framework of the tax department with the new Income Tax Act, 2025. A committee set up by the board earlier this year has already examined over 1,000 suggestions from stakeholders on redrafting rules and forms. The government has indicated that these rules, along with the SoP on digital access, are expected to be notified by the end of this year.
While confidentiality of taxpayer information remains paramount under Section 258 of the new Act, experts note that the codification of procedures for social media access will be crucial to striking a balance between effective tax enforcement and protection of individual privacy.
The CBDT is expected to release the SoP in the coming months.
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