INCOME TAX ACT, 1961

Section 253(1A)

Appeal (Tribunal) - Condonation of delay - Effect of omission of sub-section (2A) of section 253 -

Revenue having filed appeal before ITAT after 43 days of prescribed period of limitation, sought condonation of delay. Assessee objected to application of condonation of delay pleading that sub-section (2A) of section 253 was inserted by Finance Act, 2014 with retrospective effect from 1-6-2013, however, same was omitted by Finance Act, 2016 from 1-6-2016 and as sub-section (2A) was omitted from the statue by way of omission, hence, this sub-section would be deemed as it was not on the statue book right from the beginning. As per assessee 'omission' and 'repeal' of provision in the statue carried different meanings and effect and, therefore, proceedings initiated under the omitted provisions could not be continued as there was no saving clause to that effect while omitting such provisions.Held: In view of sections 6A and 24 of General Clauses Act, repeal, omission and deletion are interchangeable and thereafter 'omission' would have an effect of 'repeal' and 'repeal' would have an effect of 'omission'. Accordingly, action taken pursuant to valid legislation during its life time before omission will be saved and will not come to an end. Therefore, objection raised by assessee was without any merit and appeal filed by revenue within currency of sub-section (2A) of section 253 was valid.

Followed:Shree Bhagwati Steel Rolling Mills v. CCE & Anr. [CA No. 4280 of 2007, dt. 24-11-2015] : 2015 TaxPub(EX) 2497 (SC) and Fibre Boards (P) Ltd. v. CIT (2015) 62 Taxmann.com 135 (SC) : (2015) 10 SCC 333 : 2015 TaxPub(DT) 3219 (SC). Overruled:General Finance Co. & Anr. v. Asstt. CIT (2002) 257 ITR 338 (SC) : (2002) 124 Taxman 432 (SC) : 2002 TaxPub(DT) 1644 (SC) and CIT v. Essar Steel Ltd. (2015) 228 Taxman 309 (Bom-HC) : 2018 TaxPub(DT) 147 (Bom-HC).

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