2024 (4) TMI 648 - AT - Income Tax

Determining the jurisdiction of appellate forum - jurisdiction of this Tribunal - HELD THAT - Although certain benches of the Tribunal exercise its jurisdiction over more than one state, the explanation 4 to Standing Order dt. 01/10/1197 issued under rule 4(1) of Income Tax Appellate Tribunal Rules, 1963 prescribes that; the ordinary jurisdiction of the Tribunal should be based on the location of the Assessing Officer. The Hon ble Supreme court s decision in PCIT Vs ABC Papers Ltd. 2022 (8) TMI 863 - SUPREME COURT , has put the issue of jurisdiction of appellate forum to rest by holding that, the situs of the assessing officer is the only key factor for determining the jurisdiction of appellate forum irrespective of any administrative order passed u/s 127 of the Act in relation to transfer of cases. Thus since the situs of the AO who framed the assessment is beyond the territorial jurisdiction of this Tribunal, therefore without offering our comments on threefold issue dilated at para 3 hereinbefore, we deem it fit to dismiss the present appeal of the Revenue and the cross objection of the assessee as are not maintainable, however with leave to file them before appropriate bench of the Tribunal which exercises the jurisdiction over the Ld. AO who framed the assessment. Appeal of the Revenue and Cross-Objection of the assessee stands DISMISSED.

Summary

Issues involved:
The jurisdiction of the Tribunal in relation to the location of the Assessing Officer, admission of delayed filing of Cross Objection, and the merits of the case.

Jurisdiction of the Tribunal:
The appeal was against the order of the Commissioner of Appeals-13, Pune passed u/s 250 r.w.s. 254 of the Income-tax Act, 1961. The assessment u/s 143(3) r.w.s. 92CA of the Act was framed by the Assistant Commissioner of Income Tax, Company Circle-1(2), Chennai. The Tribunal, following the judicial precedent in 'PCIT Vs ABC Papers Ltd.', emphasized that the situs of the assessing officer is crucial in determining the jurisdiction of the appellate forum. As the assessing officer's location was beyond the Tribunal's territorial jurisdiction, the appeal of the Revenue and the cross objection of the assessee were deemed not maintainable and were dismissed.

Admission of Delayed Filing of Cross Objection:
The Tribunal did not delve into the issue of the admission of delayed filing of Cross Objection against the Revenue's present appeal. Instead, the focus was on the limited issue of the Tribunal's jurisdiction based on the location of the Assessing Officer. The Tribunal's decision to dismiss the appeal and cross objection was primarily influenced by the jurisdictional aspect rather than procedural delays.

Merits of the Case:
The Tribunal refrained from commenting on the merits of the case and the other issues raised by the parties, such as the jurisdiction of the Commissioner of Appeals in entertaining the appeal and the merits of the case itself. The Tribunal's decision to dismiss the appeal and cross objection was solely based on the jurisdictional grounds related to the location of the Assessing Officer. The parties were directed to file their appeals before the appropriate bench of the Tribunal with jurisdiction over the Assessing Officer who framed the assessment.