The Information Technology Act, 2000 is India’s primary legislation governing electronic commerce, digital transactions, and cybercrime. It came into force on 17 October 2000 to provide legal recognition to electronic records and digital signatures and to facilitate secure online communication.
The Act was enacted in line with the UNCITRAL Model Law on Electronic Commerce (1996) and applies across India, including extra-territorial jurisdiction where cyber offences affect India.
Objectives
- Provide legal recognition to electronic records and digital signatures
- Promote e-governance and electronic filing of documents
- Prevent and penalise cybercrimes
- Regulate intermediaries and digital platforms
- Ensure cybersecurity and data protection mechanisms
Key Features
Legal Recognition of Electronic Records
Electronic records and digital signatures are treated as legally valid, similar to paper documents and handwritten signatures.
Technology-Neutral Electronic Signatures
The Act allows electronic signatures, making the law adaptable to evolving technologies.
Cyber Offences and Penalties
It defines and penalises offences such as:
- Hacking and unauthorised access
- Identity theft
- Phishing and data theft
- Cyber terrorism
- Publication of obscene or harmful content
Intermediary Liability (Section 79)
Provides conditional safe harbour protection to intermediaries (such as social media platforms), subject to due diligence compliance.
Government Powers (Section 69A)
Empowers the Central Government to intercept, monitor, or block public access to information in the interest of sovereignty, security, public order, or prevention of incitement.
CERT-In
The Indian Computer Emergency Response Team (CERT-In) is designated as the national agency for cybersecurity incident response.
Overriding Effect (Section 81)
The Act overrides other laws in case of inconsistency, except the Copyright Act, 1957.
Applicability
The Act applies to:
- Individuals and companies operating in India
- Foreign entities whose digital activities impact India
- Electronic transactions and online communications
Non-Applicability
The Act does not apply to certain documents, including:
- Negotiable instruments (except cheques)
- Powers of attorney
- Trust deeds
- Wills and testamentary documents
- Sale or transfer of immovable property
Important Amendments
IT Amendment Act, 2008
- Introduced provisions on cyber terrorism
- Strengthened data protection norms
- Designated CERT-In formally
- Expanded scope of cyber offences
Section 66A, introduced through this amendment, was later struck down by the Supreme Court in 2015.
IT Rules, 2021
- Prescribed due diligence for intermediaries
- Mandated grievance redressal mechanisms
- Introduced a three-tier regulation system for digital media
IT Amendment Rules, 2023
- Addressed online gaming regulation
- Strengthened compliance mechanisms for intermediaries
Significance
- Facilitates growth of e-commerce
- Enables digital governance and online services
- Provides a framework to tackle cybercrime
- Enhances confidence in digital transactions
- Supports India’s digital economy transition
Criticisms
- Limited data breach accountability provisions
- Concerns over privacy and surveillance powers
- Inadequate capacity and expertise in cyber law enforcement
- Rapid technological changes outpacing regulatory updates
Landmark Judgments
Shreya Singhal v. Union of India (2015)
Struck down Section 66A as unconstitutional for violating freedom of speech.
K.S. Puttaswamy v. Union of India (2017)
Recognised the right to privacy as a fundamental right, influencing data protection jurisprudence.
Google v. Visaka Industries (2017)
Clarified intermediary liability standards under the Act.
Conclusion
The Information Technology Act, 2000 forms the backbone of India’s digital legal framework. While it has enabled secure electronic governance and commerce, continuous reforms are necessary to address emerging cyber threats, strengthen data protection, and balance regulation with fundamental rights.
