Why Tuhin Kanta Pandey may have been appointed Revenue Secretary

Just three weeks before the presentation of Union Budget 2025-26, the government on January 8 chose to reshuffle the top team of officials at the Finance Ministry and appointed Finance Secretary Tuhin Kanta Pandey as the Revenue Secretary.

An old hand in the Finance Ministry, Pandey till now had held charge of the Department of Investment and Public Asset Management (DIPAM) as well as of the Department of Public Enterprises. He takes over from Arunish Chawla as Revenue Secretary, who was appointed as Revenue Secretary on December 25 in the wake of Sanjay Malhotra moving on as Governor of the Reserve Bank of India. Chawla has now been posted as Secretary, DIPAM.

While the late-night appointment was surprising, policy watchers note that this was done in view of the impending Budget on February 1. Pandey, was appointed as DIPAM Secretary in 2019 and has been in the finance ministry for a long time and is well versed with the Budget making process.

He was also appointed as Finance Secretary in September 2024 and in this role, coordinates work with the departments of economic affairs, revenue, financial services, expenditure and DIPAM. Sources note that it was also felt that given the complexity of taxation related proposals, an official who has been familiar with these may be better placed as revenue secretary ahead of the Budget.  

The department of revenue holds a crucial position in the ministry given that it works on both direct and indirect tax policy measures and is also in charge of tax revenue collection for the Centre.

The appointment would mean that Pandey, who used to alternate between his office in DIPAM in Delhi’s CGO Complex and North Block, would now move to North Block full time.

Officials also note that juggling the roles of Revenue Secretary and Culture Secretary would have been an onerous task for Chawla.

As per the official order, Chawla has been appointed as Secretary, DIPAM and will also hold additional charge as Secretary, DPE and Secretary, Ministry of culture till the appointment of a regular incumbent or until further orders.