Income Tax Settlement Commission was set up in 1976 by the Central Government on the recommendation of Justice KN Wanchoo Committee. Hon'ble Mr. Kailas Nath Wanchoo was born on February 25, 1903. He was educated from prestigious educational institutions such as Pandit Pirthi Nath High School,Kanpur, Muir Central College, Allahabad and Wadhan College, Oxford. He passed B.A. from Allahabad University. He Passed the Indian Civil Service examination in 1924 and Joined ICS on December 1, 1926. He served as Joint Magistrate and District and Sessions Judge in various Districts in Uttar Pradesh. He served as a Judge in the Allahabad High Court from Feb. 1947 to Jan.1951. He served as Chief Justice of Rajasthan High Court during 1951-58. He was Chairman, U.P. Judicial Reforms Committee during 1950-51. He reported to the Government of India on the financial and other implications of the new State of Andhra, February 1953. He was the Sole Member, Indore Firing Inquiry Commission, 1954. He was Chairman of Dholpur Succession Case Commission, 1955. He was also Member of Law Commission, India 1955. He was appointed as Chief Justice of India on 12.04.1967. He retired on 24.02.1968.
Justice Wanchoo headed a committee constituted by the Central Government (1971), which recommended setting up of Income Tax Settlement Commission, to serve as an alternative Dispute resolution body. The Commission was set up with effect from 1.4.1976.