Sections of Appeals under Income Tax Act,1961

By

February 13, 2013Income TaxNo comments

Sections Covered

1) 246A: CIT (Appeals)

2) 254: ITAT —Final Fact Finding Authority

3) 260A: Supreme Court —On substantial Question of Law

4) 261: Supreme Court

ORDERS NOT APPEALABLE

1) Orders passed U/s 234A, B, and C for levying Interest

2) Orders passed U/s 264 rejecting Revision Petition

3) Orders of AAR (Authority for Advance Ruling)

4) Orders of Settlement Commission

Documents required for filling Appeal

In Original

1)      Copy of Order appealed against

2)      Notice of Demand

In Duplicate

1)   Appropriate Form

2)  Memorandum of Appeal

3)   Statement of Facts and Grounds of Appeal

Particulars 246A 254 260A 261
Appellate Authority CIT (A) ITAT High Court Supreme Court
Time limit for Appeal 30 days from the receipt of the order 60 days from the communication of the Order 120 days from the communication of the order of ITAT 90 days from the date of Order of Supreme Court
Time limit for disposal of Appeal 1 Year from the end of the FY 4 Year from the end of the FY As per Court procedure As per Court procedure
Application Form 35 36 As per Court procedure As per Court procedure
Stamps to be affixed 0.50P 0.50P As per Court procedure As per Court procedure
Fees to be Paid
Returned Income upto Rs1 Lac Rs 250 Rs 500 As per Court procedure As per Court procedure
More than 1 lac upto Rs 2 Lac Rs 500 Rs 1500 As per Court procedure As per Court procedure
More than 2 lac Rs 1000 1 % of income    (Max Rs 10,000) As per Court procedure As per Court procedure
Appeal for other than Income Rs 250 Rs 500 As per Court procedure As per Court procedure
Stay of Demand Not Possible Possible against order of CIT(A) Possible Possible
Recovery of Tax No power to stay the recovery of Tax Final order should be passed within 180 days from the stay order so passed - -
Minimum Tax to be paid for filling appeal If Return is Filled: Tax due on Returned IncomeIf Return not Filled: At least the Advance tax payable Rs 2,00,000/-+ Question of Law Rs 4,00,000/-+ Question of Law Rs 10,00,000/-+ Question of Law

 

SECTION 246A: APPEAL TO COMMISSIONER (APPEALS)

a)      Appealable orders

1)      Orders against the Assessee

Where the assessee denies his liability

A)      to be assessed under IT Act

B)      to be assessed under Assessment Order U/s 143 (3), 144

Where the assessee objects

A)      to the income assessed

B)      to the amount of Tax determined

C)     to the amount of loss computed

D)     to the status under which he is assessed

2)      Order of Assessment / Re-assessment U/s 147,153A

3)      Orders made U/s 154,155

—enhancing the assessment

—-Reducing a refund

—Refusing to allow a claim

4)      Orders made U/s 163 —treating Assessee as an agent of NR

5)      Orders made U/s 170 (2) / (3)—-on succession of Business or Profession

6)      Orders made U/s 171—–refusing Partition of HUF

7)      Orders made U/s 201—-levying interest for delay in remitting TDS / TCS

8)      Orders made U/s 206C (6A)—levying penalty for failure to collect or delay in remitting TDS /TCS

9)      Order made U/s 237—-Refund

10) Order imposing penalty U/s 221, 271, 271A, 271AAA, 271F, 271FB, 271B, 271BB, 271C, 271CA, 271D, 271E, 272A, 272AA, 272BB, 158BFA, Chapter XXI

11) Order imposing / enhancing penalty U/s 275 (1A)

12) Order made U/s 158BC ( c) for search initiated U/s 132 or requisition of books U/s 132A

13) Orders made U/s 115VP

b)      Powers of CIT (A)

1)      To Condon the Delay as regards limitation of time limit for filling Appeal beyond 30 days———if he is satisfied that the appellant or the Assessee has sufficient reason to file the appeal after the due date.

2)      To inquire into the matters as he thinks fit, before disposing the Appeal.

3)      To direct the Assessing officer to make such inquiry and report the same, as he thinks fit.

4)      Can confirm, reduce, enhance or annul the assessment —–if the Appeal is against the Order of Assessment.

5)       Can confirm, cancel, and vary the Order —–if the Order is against the Order of Penalty. (cannot set aside)

6)      Pass such Order as he thinks fit.

SECTION 253: APPEAL TO INCOME TAX APPELLATE TRIBUNAL)

a)      Appealable orders

7)      Orders Passed by COMMISSIONER (APPEALS)

A)      Orders passed U/s 115 VZC refusing applicability of tonnage tax Scheme.

B)      Orders passed U/s 154

C)     Orders passed u/s 250

D)     Orders passed u/s 271, 271A, 272A

8)      Orders passed by COMMISSIONER

A)      Orders passed U/s 12 AA refusing registration of a Trust as religious or charitable or Cancellation of registration of a Trust.

B)      Orders passed U/s 80G (5) (vi) refusing to register a Trust U/s 80G

C)     Orders passed U/s 263, 271, 272 A

D)     Order passed U/s 154 amending order U/s 263

E)      Order passed U/s 154 amending order passed U/s 272A originally passed by Chief Commissioner, DG or Director

b)      Powers of CIT (A)

1)      To Condon the Delay as regards limitation of time limit for filling Appeal beyond 120 days———if he is satisfied that the appellant or the Assessee has sufficient reason to file the appeal after the due date

2)      To accept additional evidence Under Rule 46A.

3)      To make necessary inquiry, wherever necessary

4)      To rectify the mistake apparent from record.

5)      Rectify ( cannot REVIEW ) its own order at any time —within 4 years from the date of the Order—with a view to rectify any mistake apparent from record. (if any order is prejudicial to the interest of the Assessee then shall give opportunity of being heard).

6)      ITAT is the final fact finding authority i.e, on a question of fact, the Order of ITAT are final and no appeal against the said order can be filed at Supreme Court. (Note: On a question of Law —Order of ITAT is final—until appeal is not filed at Supreme Court against the said Order.

OTHER RELEVANT TOPICS RELATED TO APPEALS

APPEAL AGAINST ITAT:

On a question of Fact

A WRIT PETITION can be filed to the Supreme Court, challenging the fact finding process adopted by ITAT. If the Supreme Court is satisfied that the Fact Finding process is not proper, then the Order of ITAT shall be quashed and a direction shall be issued by the Supreme Court to the ITAT to do the Fact Finding in a proper manner and /or as per the direction.

If the above WRIT PETITION filed by assessee is dismissed by SUPREME COURT

The assessee can file a SPECIAL LEAVE PETITION to the SUPREME COURT challenging the Fact Finding process of ITAT. . If the Supreme Court is satisfied that the Fact Finding process is not proper, then the Order of ITAT shall be quashed and a direction shall be issued by the Supreme Court to the ITAT to do the Fact Finding in a proper manner and /or as per the direction.

Leave a Reply

99 queries in 0.788 seconds.