Appeals Power of JCIT (Appeals) and CIT (Appeals)—Recent Developments

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The Tax Publishers Income Tax--Appeals Power of JCIT (Appeals) and CIT (Appeals)--Recent Developments V.K. Subramani The present write-up highlights certain aspects of e-Appeal Scheme, 2023. The author also suggests to streamline the process of appeal by introducing single scheme. The Commissioner (Appeals) is the first appellate authority with whom the taxpayers have to file appeal against the order of the assessing authority. The Finance Act, 2023 created a parallel first appellate authority viz. Joint Commissioner (Appeals) to whom the first appeal could be preferred by the taxpayers. Both JCIT (Appeals) and CIT (Appeals) before disposing of any appeal would make such further enquiry as he thinks fit, or may direct the Assessing Officer to make further enquiry and report the result of the same for enabling disposal of appeal. The CIT (Appeals) and JCIT (Appeals) may allow the assessee (appellant) to go into any ground of appeal not specified in the grounds of the appeal if satisfied that the omission of such ground was not wilful or unreasonable. The CIT (Appeals) can set aside the assessment and refer the case back to Assessing Officer for making a fresh assessment in the case of appeal against an order under section 144. This power to set aside against ex-parte order was inserted by the Finance (No.2) Act, 2024 w.e.f. 01.10.2024. This power, however, is not given to JCIT (Appeals) and hence even in respect of an appeal against assessment under section 144 it cannot be set aside by JCIT (Appeals). Otherwise, both JCIT (Appeals) and CIT (Appeals) can confirm, reduce, enhance or annul the assessment made by the Assessing Officer. As regards, appeal against an order imposing penalty, both the authorities can confirm or cancel such order or vary so as either to enhance or to reduce the penalty. 1. e-Appeals Scheme, 2023 The Central Government in exercise of its powers conferred by sub-section (5) of section 246 has notified e-Appeals Scheme vide Notification No.S.O.2352(E) dated 29-5-2023. The e-Appeals Scheme, 2023 would apply in respect of all appeals except those covered under section 246(6) of the Income-tax Act. In fact, to whom it is not applicable is given by CBDT vide order F.No.370149 dated 16-6-2023. SUBSCRIBE FOR FULL CONTENT

The Tax Publishers

Income Tax--Appeals

Power of JCIT (Appeals) and CIT (Appeals)--Recent Developments

V.K. Subramani

The present write-up highlights certain aspects of e-Appeal Scheme, 2023. The author also suggests to streamline the process of appeal by introducing single scheme.

The Commissioner (Appeals) is the first appellate authority with whom the taxpayers have to file appeal against the order of the assessing authority. The Finance Act, 2023 created a parallel first appellate authority viz. Joint Commissioner (Appeals) to whom the first appeal could be preferred by the taxpayers. Both JCIT (Appeals) and CIT (Appeals) before disposing of any appeal would make such further enquiry as he thinks fit, or may direct the Assessing Officer to make further enquiry and report the result of the same for enabling disposal of appeal.

The CIT (Appeals) and JCIT (Appeals) may allow the assessee (appellant) to go into any ground of appeal not specified in the grounds of the appeal if satisfied that the omission of such ground was not wilful or unreasonable.

The CIT (Appeals) can set aside the assessment and refer the case back to Assessing Officer for making a fresh assessment in the case of appeal against an order under section 144. This power to set aside against ex-parte order was inserted by the Finance (No.2) Act, 2024 w.e.f. 01.10.2024. This power, however, is not given to JCIT (Appeals) and hence even in respect of an appeal against assessment under section 144 it cannot be set aside by JCIT (Appeals).

Otherwise, both JCIT (Appeals) and CIT (Appeals) can confirm, reduce, enhance or annul the assessment made by the Assessing Officer. As regards, appeal against an order imposing penalty, both the authorities can confirm or cancel such order or vary so as either to enhance or to reduce the penalty.

1. e-Appeals Scheme, 2023

The Central Government in exercise of its powers conferred by sub-section (5) of section 246 has notified e-Appeals Scheme vide Notification No.S.O.2352(E) dated 29-5-2023. The e-Appeals Scheme, 2023 would apply in respect of all appeals except those covered under section 246(6) of the Income-tax Act. In fact, to whom it is not applicable is given by CBDT vide order F.No.370149 dated 16-6-2023.