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The Central Board of Indirect Taxes and Customs (CBIC), under the Ministry of Finance, has issued Order No. 02/2026-HSNS Cess dated 29th January 2026, notifying the designation of “Proper Officers” for exercising powers under various provisions of the Health Security at National Security Cess Act, 2025 and the HSNS Cess Rules, 2026. The order has been issued under clause (l) of Section 2 of the HSNS Cess Act, which empowers the Board to assign officers for the administration of the cess.
According to Table I of the order, the Board has assigned specific statutory functions to officers across different ranks. The Principal Commissioner/Commissioner of HSNS Cess has been designated as the proper officer for exercising powers under key sections including Section 12(1), Section 16(8), Section 19(7), Section 21, Section 23(1) & (5), Section 24(10), Section 26(1), and Section 28(1). Similarly, Commissioners (Appeals) have been empowered under Section 29(1). The Additional or Joint Commissioners of HSNS Cess have been assigned responsibilities under Sections 14(1), 16(1, 3, 4, 7, 9, 10, 11), Sections 18(1, 2, 3), and Section 24(1, 2, 3, 7, 11). Deputy or Assistant Commissioners are entrusted with powers under Sections 9(4, 5), 11(2, 3, 4), 12(6–9), 14(2), 16(1, 3, 4, 7, 9, 10, 11), 18(1, 3), 24(11), and additional functions specified under Rules 5, 6, 7, 8, 10, 11, 12(2), and Rules 14, 15, 17, 22(2), 32 and 34. The Superintendent of HSNS Cess has been designated as the proper officer for responsibilities under Sections 8(1, 2, 3, 5), 10(4, 5), 11(1), 13, 24(14), and multiple subsections of Section 16.
Furthermore, Table II, prescribes the monetary limits for issuance of show cause notices and adjudication of cases under Sections 16 and 18 of the HSNS Cess Act. The Superintendent of HSNS Cess is authorized to handle cases up to ₹20 lakh, whereas Deputy or Assistant Commissioners may adjudicate matters above ₹20 lakh but not exceeding ₹2 crore. Cases involving amounts exceeding ₹2 crore will be adjudicated by the Additional or Joint Commissioner of HSNS Cess, with no upper monetary limit. The order further states that officers of the Directorate General of Goods and Services Tax Intelligence and Audit Commissionerates may issue show cause notices, but adjudication shall rest with the jurisdictional executive Commissionerates within the monetary limits notified. This order shall come into effect from 1 February 2026.
The Order can be accessed at: https://www.cbic.gov.in/resources/htdocs-cbec/proper_officer_under_hsns_cess_order_02_26.pdf
