Income-tax Act 2025 / Section 386 / Section 387

Section 387 Income Tax Act 2025: What Powers Does the Board for Advance Rulings Have?

Section 387 grants the Board for Advance Rulings specified civil court powers and treats its proceedings as judicial proceedings for particular statutory purposes. The provision helps the Board examine evidence and conduct formal advance-ruling proceedings, but it does not make the Board a civil court for every purpose.

Statutory heading: Powers of the Board for Advance Rulings.
Law: Section 387, Income-tax Act, 2025 (text as amended by Finance Act, 2026).
Official source: Income Tax Department - Section 387.

What does Section 387 provide?

Section 387 has two subsections. Subsection (1) imports the civil court powers identified in Section 246 of the Income-tax Act, 2025. Subsection (2) establishes specific deeming provisions under the Bharatiya Nagarik Suraksha Sanhita, 2023 (BNSS) and the Bharatiya Nyaya Sanhita, 2023 (BNS).

Provision	Legal effect	Practical significance
Section 387(1)	Specified powers of a civil court under the Code of Civil Procedure, 1908, as referred to in Section 246.	Enables evidence-gathering and procedural steps within the statutory scope.
Section 387(2), first limb	Board deemed a civil court for BNSS Section 215, but not for BNSS Chapter XXVIII.	Creates a limited statutory status; it is not a general declaration that the Board is a civil court.
Section 387(2), second limb	Proceedings deemed judicial proceedings under BNS Sections 229 and 267 and for Section 233.	Applies the specified criminal-law safeguards concerning evidence and proceedings.

Which civil court powers does the Board have under Section 387(1)?

The Board has the powers of a civil court under the Code of Civil Procedure, 1908, to the extent referred to in Section 246 of the Income-tax Act, 2025. Section 246(1) identifies matters including:

Discovery and inspection of relevant material.
Enforcing attendance of persons, including officers of banking companies, and examining them on oath.
Compelling production of books of account and other documents.
Issuing commissions, as provided in the cross-referenced statutory provision.

These powers assist the Board in determining questions raised in an advance-ruling application. Their extent is governed by the actual language of Section 246; Section 387 does not independently confer every power possessed by an ordinary civil court.

Is the Board for Advance Rulings a civil court?

Only for the specified purposes. Section 387(2) expressly deems the Board to be a civil court for the purposes of Section 215 of the BNSS, 2023, while expressly excluding that status for the purposes of Chapter XXVIII of the BNSS. This carefully limited legal fiction must not be extended to unrelated provisions.

Are proceedings before the Board judicial proceedings?

Yes, for the expressly identified purposes. Every proceeding before the Board is deemed a judicial proceeding under Sections 229 and 267 and for the purposes of Section 233 of the Bharatiya Nyaya Sanhita, 2023. The statutory references relate to the integrity of evidence and conduct in judicial proceedings; the precise ingredients and penalties, where relevant, must be determined from the BNS provisions themselves.

Relevant statutory definitions and legal expressions

Board for Advance Rulings: The body constituted under Section 381, with the expression defined for the advance-rulings chapter in Section 380.

Advance ruling: A ruling within the categories specified in Section 380(a), issued through the procedure in Section 384.

Civil court powers: The specific procedural powers imported through Section 387(1) read with Section 246, rather than a general civil court jurisdiction.

Deemed civil court: A legal status created for the limited purposes expressly identified in Section 387(2).

Judicial proceeding: A proceeding to which the legal consequences specified by Section 387(2) apply under the identified provisions of the BNS.

Practical illustrations

Document production: A question about the tax treatment of a proposed transaction requires supporting contracts and accounting records. The Board may use the powers incorporated through Section 246 to require relevant documents.
Witness examination: Where the statutory requirements are satisfied, the Board can exercise the incorporated power to enforce attendance and examine a person on oath.
False evidence: If false evidence is given in a proceeding before the Board, the proceeding's deemed judicial character may be relevant to the specific BNS provisions named in Section 387(2). Any criminal liability depends on the applicable offence's legal elements and procedure.

Frequently asked questions

Does Section 387 give the Board every power of a civil court?

No. The Board receives the civil court powers referred to in Section 246 and a separate, limited deemed-court status under Section 387(2).

Can the Board require production of documents?

Yes, within the scope of the powers incorporated by Section 387(1) read with Section 246.

Which criminal procedure law is referred to in Section 387?

The provision expressly refers to Section 215 and Chapter XXVIII of the Bharatiya Nagarik Suraksha Sanhita, 2023.

Which criminal law provisions govern the deemed judicial proceeding?

Section 387(2) refers to Sections 229 and 267, and the purposes of Section 233, of the Bharatiya Nyaya Sanhita, 2023.

Does Section 387 prescribe a time limit for an advance ruling?

No. The procedural time limits for pronouncing an advance ruling are addressed in Section 384, not Section 387.

Legal note: This article explains the statutory provision for general information. For a particular application or proceeding, consult the current Act, relevant rules, notifications and case-specific legal advice.