{"id":1248,"date":"2025-09-27T15:58:00","date_gmt":"2025-09-27T10:28:00","guid":{"rendered":"https:\/\/currentnewstimes.com\/upscpsir\/?p=1248"},"modified":"2025-10-05T14:53:57","modified_gmt":"2025-10-05T09:23:57","slug":"key-government-directorates-under-department-of-revenue-upsc-prelims-2025-q3-set-a","status":"publish","type":"post","link":"https:\/\/currentnewstimes.com\/upscpsir\/key-government-directorates-under-department-of-revenue-upsc-prelims-2025-q3-set-a\/","title":{"rendered":"Key Government Directorates under Department of Revenue &#8211; UPSC Prelims 2025 \u2014 Q3 (Set A)"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">The Question on Department of Revenue<\/h2>\n\n\n\n<p><strong>Q3. With reference to the Government of India, consider the information:<\/strong><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Organization<\/th><th>Some of its functions<\/th><th>It works under<\/th><\/tr><\/thead><tbody><tr><td>I. Directorate of Enforcement<\/td><td>Enforcement of the Fugitive Economic Offenders Act, 2018<\/td><td>Internal Security Division-1, Ministry of Home Affairs<\/td><\/tr><tr><td>II. Directorate of Revenue Intelligence<\/td><td>Enforced the Provisions of the Customs Act, 1962<\/td><td>Department of Revenue, Ministry of Finance<\/td><\/tr><tr><td>III. Directorate General of Systems and Data Management<\/td><td>Carrying out big data analytics to assist tax officers for better policy and nabbing tax evaders<\/td><td>Department of Revenue, Ministry of Finance<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p><strong>In how many of the above rows is the information correctly matched?<\/strong><\/p>\n\n\n\n<p>Options:<br>a) Only one<br>b) Only two \u2705<br>c) All the three<br>d) None<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p>The Answer<\/p>\n\n\n\n<p><strong>Correct Answer: (b) Only two<\/strong> \u2705<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Row-wise evaluation:<\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Row<\/th><th>Function Correct?<\/th><th>Department Correct?<\/th><th>Result<\/th><\/tr><\/thead><tbody><tr><td>I<\/td><td>\u2705 Yes \u2014 Directorate of Enforcement enforces the <strong>Fugitive Economic Offenders Act, 2018<\/strong>, <strong>Prevention of Money Laundering Act, 2002<\/strong>, and <strong>Foreign Exchange Management Act, 1999<\/strong><br><\/td><td>\u274c No \u2014 It works under the <strong>Department of Revenue, Ministry of Finance<\/strong>, not the Ministry of Home Affairs<\/td><td>\u274c Incorrect<\/td><\/tr><tr><td>II<\/td><td>\u2705 Yes \u2014 Directorate of Revenue Intelligence enforces the <strong>Customs Act, 1962<\/strong> and over fifty allied acts including the Arms Act, Narcotic Drugs and Psychotropic Substances Act, COFEPOSA, Wildlife Protection Act, and Antiquities Act<\/td><td>\u2705 Yes \u2014 It functions under the <strong>Department of Revenue, Ministry of Finance<\/strong>, through the <strong>Central Board of Indirect Taxes and Customs<\/strong><\/td><td>\u2705 Correct<\/td><\/tr><tr><td>III<\/td><td>\u2705 Yes \u2014 Directorate General of Systems and Data Management provides <strong>information technology systems, big data analytics, and digital platforms<\/strong> to assist tax officers and enforcement of tax policies<\/td><td>\u2705 Yes \u2014 It functions under the <strong>Department of Revenue, Ministry of Finance<\/strong>, through the <strong>Central Board of Indirect Taxes and Customs<\/strong> and <strong>Central Board of Direct Taxes<\/strong><\/td><td>\u2705 Correct<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p><strong>Conclusion:<\/strong> Only Rows II and III are correct \u2192 <strong>Answer: Only two<\/strong><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Key Government Directorates under the Department of Revenue<\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Organization<\/th><th>Year of Establishment<\/th><th>Function (One-line)<\/th><th>Parent Ministry \/ Board<\/th><\/tr><\/thead><tbody><tr><td><strong><a href=\"https:\/\/enforcementdirectorate.gov.in\/what-we-do\" target=\"_blank\" rel=\"noopener\"><em>Directorate of Enforcement (Department of Revenue)<\/em><\/a><\/strong><\/td><td>1957<\/td><td>Enforces <strong>Foreign Exchange Management Act, 1999<\/strong>, <strong>Prevention of Money Laundering Act, 2002<\/strong>, and <strong>Fugitive Economic Offenders Act, 2018<\/strong> to combat economic crimes<\/td><td>Department of Revenue, Ministry of Finance<\/td><\/tr><tr><td><strong><em><a href=\"https:\/\/dri.nic.in\/main\/aboutus\" target=\"_blank\" rel=\"noopener\">Directorate of Revenue Intelligence<\/a><\/em><\/strong><\/td><td>1957<\/td><td>Apex anti-smuggling agency, enforces <strong>Customs Act, 1962<\/strong> and allied laws, prevents smuggling, trade fraud, drug trafficking, and illegal wildlife trade<\/td><td>Central Board of Indirect Taxes and Customs, Department of Revenue, Ministry of Finance<\/td><\/tr><tr><td><strong>Directorate General of Systems and Data Management<\/strong><\/td><td>\u2014 (part of Central Board of Indirect Taxes and Customs ICT projects)<\/td><td>Implements <strong>automated information technology systems, centralized data management, and analytics<\/strong> to support tax administration<\/td><td>Central Board of Indirect Taxes and Customs and Central Board of Direct Taxes, Department of Revenue, Ministry of Finance<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">One-line Explainers<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Directorate of Enforcement (Department of Revenue)<\/strong> \u2192 Investigates <strong>money laundering, foreign exchange violations, and fugitive economic offenders<\/strong> under FEMA, PMLA, and FEOA, <\/li>\n\n\n\n<li><strong>Directorate of Revenue Intelligence<\/strong> \u2192 Detects and prevents <strong>smuggling of contraband, drug trafficking, illicit trade in wildlife, and commercial frauds<\/strong> under Customs Act, 1962 and allied laws.<\/li>\n\n\n\n<li><strong>Directorate General of Systems and Data Management<\/strong> \u2192 Develops and maintains <strong>automated tax systems, centralized computer facilities, data communication networks, and analytics platforms<\/strong> for tax policy and enforcement.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">About the Department of Revenue<\/h2>\n\n\n\n<p>The <a href=\"https:\/\/dor.gov.in\/about-department\" target=\"_blank\" rel=\"noopener\"><strong>Department of Revenue<\/strong> <\/a>is a key department under the <strong>Ministry of Finance, Government of India<\/strong>, responsible for administration, monitoring, and supervision of all <strong>direct and indirect Union taxes<\/strong>.<\/p>\n\n\n\n<p>Prevention of Illicit Traffic in Narcotic Drugs and Psychotropic Substances Department<\/p>\n\n\n\n<p><strong>Leadership:<\/strong> Led by the <strong>Secretary (Revenue)<\/strong> under the overall direction of the <strong>Union Finance Minister<\/strong>.<\/p>\n\n\n\n<p><strong>Boards:<\/strong> Two statutory boards manage taxation matters:<\/p>\n\n\n\n<p><strong>Central Board of Direct Taxes (CBDT):<\/strong> Handles <strong>income tax, corporation tax, capital gains tax, estate duty, wealth tax, expenditure tax, gift tax<\/strong>, and related matters.<\/p>\n\n\n\n<p><strong>Central Board of Indirect Taxes and Customs (CBIC):<\/strong> Handles <strong>Goods and Services Tax (GST), Customs Duty, Central Excise duties<\/strong>, and allied indirect taxes.<\/p>\n\n\n\n<p><strong>Board Composition:<\/strong> Each board is headed by a <strong>Chairman<\/strong>, who is also ex officio <strong>Special Secretary to the Government of India<\/strong>. Currently, both CBDT and CBIC have six Members each.<\/p>\n\n\n\n<p><strong>Legal Basis:<\/strong> Boards were constituted under the <strong>Central Board of Revenue Act, 1963<\/strong>.<\/p>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Functions under the Government of India (Allocation of Business) Rules, 1961:<\/strong><\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Grants-in-aid to the <strong>National Institute of Public Finance and Policy<\/strong><\/li>\n\n\n\n<li>Stamp duties on various instruments like <strong>bills of exchange, cheques, promissory notes, bills of lading, letters of credit, insurance policies, shares, debentures<\/strong><\/li>\n\n\n\n<li>Administration of <strong>income tax<\/strong> (except Income-tax Appellate Tribunal), <strong>corporation tax, capital gains tax, estate duty, wealth tax, expenditure tax, gift tax<\/strong>, and <strong>Railway Passenger Fares Act<\/strong><\/li>\n\n\n\n<li>Administration of <strong>Benami Transactions (Prohibition) Act, 1988<\/strong><\/li>\n\n\n\n<li>Administration of <strong>Narcotic Drugs and Psychotropic Substances Act, 1985<\/strong><\/li>\n\n\n\n<li>Administration of <strong>Customs<\/strong>, <strong>GST<\/strong>, and <strong>Central Excise<\/strong> matters<\/li>\n\n\n\n<li>Preventive detention for <strong>conservation\/augmentation of foreign exchange<\/strong> and <strong>prevention of smuggling activities<\/strong> (COFEPOSA)<\/li>\n\n\n\n<li>Enforcement of <strong>Prevention of Money Laundering Act, 2002<\/strong> and <strong>Foreign Exchange Management Act, 1999<\/strong><\/li>\n<\/ol>\n\n\n\n<p class=\"has-medium-font-size\">Management of subordinate organizations such as:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Income Tax Department<\/li>\n\n\n\n<li>Customs Department<\/li>\n\n\n\n<li>Goods and Services Tax Department<\/li>\n\n\n\n<li><em><strong>Directorate of Enforcement<\/strong><\/em><\/li>\n\n\n\n<li>Central Bureau of Narcotics<\/li>\n\n\n\n<li><em><strong>Directorate General of Revenue Intelligence<\/strong><\/em><\/li>\n\n\n\n<li><em><strong>Directorate General of Systems &amp; Data Management<\/strong><\/em><\/li>\n\n\n\n<li>Financial Intelligence Unit<\/li>\n\n\n\n<li>Goods and Services Tax Network<\/li>\n<\/ol>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Practice Questions<\/h3>\n\n\n\n<p><strong>Q3.1<\/strong> Which of the following organizations works under the <strong>Department of Revenue, Ministry of Finance<\/strong>?<br>a) Directorate of Enforcement<br>b) Directorate of Revenue Intelligence<br>c) Directorate General of Systems and Data Management<br>d) All of the above \u2705<\/p>\n\n\n\n<p><strong>Q3.2<\/strong> The Directorate of Enforcement is responsible for enforcing which of the following Acts?<br>a) Customs Act, 1962<br>b) Prevention of Money Laundering Act, 2002 \u2705<br>c) Arms Act<br>d) Wildlife Protection Act<\/p>\n\n\n\n<p><strong>Also View: <\/strong><a href=\"https:\/\/currentnewstimes.com\/upscpsir\/alternative-investment-funds-upsc-prelims-2025\/\">Alternative Investment Funds \u2013 UPSC Prelims 2025 \u2014 Q1 (Set A)<\/a><\/p>\n\n\n\n<p><strong>Also View:<\/strong> <a href=\"https:\/\/currentnewstimes.com\/upscpsir\/income-of-rbi-upsc-prelims-2025\/\">Sources of Income of RBI: UPSC Prelims 2025 Question 2<\/a><br><br><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">FAQs<\/h2>\n\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<div class=\"rank-math-list \">\n<div id=\"faq-question-1758883486747\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><strong>Q1. What is the main objective of the Directorate of Enforcement (Department of Revenue)?<\/strong><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>To enforce <strong>Foreign Exchange Management Act, 1999<\/strong>, <strong>Prevention of Money Laundering Act, 2002<\/strong>, and <strong>Fugitive Economic Offenders Act, 2018<\/strong>, and investigate economic crimes in India.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1758883501990\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><strong>Q2. What is the primary role of the Directorate of Revenue Intelligence?<\/strong><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>It is the apex <strong>anti-smuggling agency<\/strong>, responsible for enforcing the <strong>Customs Act, 1962<\/strong> and allied laws, preventing smuggling, drug trafficking, wildlife\/antiquities trade, and commercial frauds.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1758883514377\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><strong>Q3. What does the Directorate General of Systems and Data Management do?<\/strong><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>Provides <strong>information technology systems, automated processes, centralized data management, and analytics<\/strong> to support tax officers and improve policy enforcement.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1758883526849\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><strong>Q4. Under which Ministry do these directorates function?<\/strong><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>All operate under the <strong>Department of Revenue, Ministry of Finance, Government of India<\/strong>.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1758883538773\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \"><strong>Q5. When was the Directorate of Revenue Intelligence constituted?<\/strong><\/h3>\n<div class=\"rank-math-answer \">\n\n<p>It was constituted in <strong>1957<\/strong>, as India\u2019s apex anti-smuggling intelligence and investigation agency.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Question on Department of Revenue Q3. With reference to the Government of India, consider the information: Organization Some of its functions It works under I. Directorate of Enforcement Enforcement of the Fugitive Economic Offenders Act, 2018 Internal Security Division-1, Ministry of Home Affairs II. Directorate of Revenue Intelligence Enforced the Provisions of the Customs [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"set","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[8,10,9],"tags":[],"class_list":["post-1248","post","type-post","status-publish","format-standard","hentry","category-upsc-prelims","category-economics","category-prelims-2025"],"uagb_featured_image_src":{"full":false,"thumbnail":false,"medium":false,"medium_large":false,"large":false,"1536x1536":false,"2048x2048":false},"uagb_author_info":{"display_name":"Varun Jain","author_link":"https:\/\/currentnewstimes.com\/upscpsir\/author\/pushkaragarwal\/"},"uagb_comment_info":0,"uagb_excerpt":"The Question on Department of Revenue Q3. With reference to the Government of India, consider the information: Organization Some of its functions It works under I. Directorate of Enforcement Enforcement of the Fugitive Economic Offenders Act, 2018 Internal Security Division-1, Ministry of Home Affairs II. Directorate of Revenue Intelligence Enforced the Provisions of the Customs&hellip;","_links":{"self":[{"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/posts\/1248","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/comments?post=1248"}],"version-history":[{"count":1,"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/posts\/1248\/revisions"}],"predecessor-version":[{"id":1249,"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/posts\/1248\/revisions\/1249"}],"wp:attachment":[{"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/media?parent=1248"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/categories?post=1248"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/currentnewstimes.com\/upscpsir\/wp-json\/wp\/v2\/tags?post=1248"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}