2025 (4) TMI 662 - HC - Income Tax

Writ petition directing CIT(A) to decide the appeal preferred by the petitioner in a time bound manner - HELD THAT - As in every appeal the Joint Commissioner (A) or the Commissioner (A) as the case may be where it is possible may hear and decide such appeal within a period of one year from the end of the financial year in which such appeal is filed before him. It is evident that although the expression where it is possible has been used the intent of legislature unequivocally is in favour of time bound disposal of appeals. The petitioner has drawn attention to an earlier order passed by this Court in titled as Perfetti Van Melle India Pvt. Ltd 2025 (4) TMI 612 - PUNJAB AND HARYANA HIGH COURT wherein it was observed by this Court that the appeal was filed in the year 2015 i.e. almost about 10 years back and was not decided which forced the petitioner therein to file CWP where this Court was constrained to issue directions for disposal of the appeal that had been pending for nearly a decade within a period of six months. In the present writ petition again the petitioner filed the appeal in the year 2020 i.e. 5 years back and till date there is no progress. Therefore the present writ petition is disposed of with a direction to respondent No.2-The Commissioner of Income Tax-3 (Appeals) to decide the appeal filed by the petitioner within a period of three months from the date of receipt of copy of this order.

Summary

In the case before the Punjab and Haryana High Court, the petitioner sought a writ of mandamus to compel the Commissioner of Income Tax-3 (Appeals) to resolve an appeal filed on January 20, 2020, concerning an assessment order dated December 30, 2019. The petitioner argued that despite the appeal being filed nearly five years ago, no progress had been made. The respondents did not oppose this request.The court examined Section 250 of the Income Tax Act, 1961, which suggests that appeals should ideally be heard and decided within one year from the end of the financial year in which they are filed. The court highlighted the legislative intent for time-bound disposal of appeals, despite the phrase "where it is possible" in the statute.The court referenced a prior case, Perfetti Van Melle India Pvt. Ltd. vs. Union of India & Others, where a similar delay had occurred, prompting the court to order the appeal's resolution within six months. In the present case, the court directed the Commissioner of Income Tax-3 (Appeals) to decide the petitioner's appeal within three months from receiving the court's order. All pending applications were also disposed of.