Explanation – The Income Tax Department is responsible for collecting income tax in India. It is a part of the Department of Revenue under the Ministry of Finance, Government of India. The department is responsible for administering direct taxes, including income tax, corporate tax, and wealth tax, among others. The department is also responsible for enforcing tax laws, conducting tax audits, and investigating tax evasion and fraud. The Central Board of Direct Taxes (CBDT) is the apex body of the Income Tax Department, which is responsible for formulating policies and procedures for the administration of direct taxes in India.

Source: Forum IAS