Are your Instagram, email, and Facebook accounts under the Income Tax Department's radar? Find out the full truth
Currently, tax searches are governed by Section 132 of the Income Tax Act, 1961. This provision allows officers to raid premises and seize physical items such as cash, jewellery, documents or property.
Income Tax New Rules 2026: From April 1, 2026, India's Income Tax Department will enter a new digital era. But why is this change being made, and how will it affect you as a taxpayer in India?
According to a viral post on social media, the new Income Tax Act will give the department the power to scrutinize social media and email accounts to prevent tax evasion. The government's fact-checking agency, the Press Information Bureau (PIB), has clarified this claim.
What did PIB say?
The PIB has stated that this claim is misleading and false. According to the PIB, the Income Tax Department is not being granted access to the personal digital accounts of ordinary citizens.
The PIB explained that the powers granted under Section 247 of the new Income Tax Act, 2025, are limited to search and survey operations only.
This means that digital data can only be examined when there is concrete evidence of large-scale tax evasion or black money against an individual or entity and a proper search operation is conducted.
Can officials access your online accounts whenever they want?
No. The new law does not allow unrestricted or random access to personal digital data. Even for digital access, there must be "reason to believe" that a person is concealing income or assets or engaging in tax evasion.
This means that taxpayer privacy will be maintained. In the case of searches, income tax officials will be required to record the basis of suspicion before initiating a digital search, ensuring that these powers comply with existing legal limitations.
What does the new law mean for you as a taxpayer?
For most honest taxpayers, these new rules are unlikely to impact their daily lives. To be safe, you need to file your returns accurately, declare your income, and comply with tax laws.