Section 251 - Powers of the Joint Commissioner (Appeals) or the Commissioner (Appeals). - Income-tax Act, 1961

13 [Powers of the Joint Commissioner (Appeals) or the Commissioner (Appeals).] 251. (1) In disposing of an appeal, the 3 [* * *] 4 [Commissioner (Appeals)] shall have the following powers- ( a ) in an appeal against an order of assessment, he may confirm, reduce, enhance or annul the assessment; 5 [* * *] 18 [Provided that where such appeal is against an order of assessment made under section 144, he may set aside the assessment and refer the case back to the Assessing Officer for making a fresh assessment; ] 12 [ (aa) in an appeal against the order of assessment in respect of which the proceeding before the Settlement Commission abates under section 245HA, he may, after taking into consideration all the material and other information produced by the assessee before, or the results of the inquiry held or evidence recorded by, the Settlement Commission, in the course of the proceeding before it and such other material as may be brought on his record, confirm, reduce, enhance or annual the assessment ] ( b ) in an appeal against an order imposing a penalty, he may confirm or cancel such order or vary it so as either to enhance or to reduce the penalty; ( c ) in any other case, he may pass such orders in the appeal as he thinks fit. 14 [ (1A) In disposing of an appeal, the Joint Commissioner (Appeals) shall have the following powers (a) in an appeal against an order of assessment, he may confirm, reduce, enhance or annul the assessment; (b) in an appeal against an order imposing a penalty, he may confirm or cancel such order or vary it so as either to enhance or to reduce the penalty; (c) in any other case, he may pass such orders in the appeal as he thinks fit. ] (2) The 6 [* * *] 15 [ Joint Commissioner (Appeals) or the Commissioner (Appeals), as the case may be, ] shall not enhance an assessment or a penalty or reduce the amount of refund unless the appellant has had a reasonable opportunity of showing cause against such enhancement or reduction. Explanation .-In disposing of 16 [ an appeal, the Joint Commissioner (Appeals) or the Commissioner (Appeals), ] may consider and decide any matter arising out of the proceedings in which the order appealed against was passed, notwithstanding that such matter was not 17 [ raised before the Joint Commissioner (Appeals) or the Commissioner (Appeals), as the case may be, ] by the appellant. --------------------- Notes :- 1. Words Deputy Commissioner (Appeals) or, as the case may be, the omitted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier Deputy Commissioner (Appeals) was substituted for Appellate Assistant Commissioner by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988 and or, as the case may be, the was inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 2. Inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 3. Words Deputy Commissioner (Appeals) or, as the case may be, the omitted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier Deputy Commissioner (Appeals) was substituted for Appellate Assistant Commissioner by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988 and or, as the case may be, the was inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 4. Inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 5. The portion beginning with the words or he may set aside and ending with the words on the basis of such fresh assessment; omitted by the Finance Act, 2001, w.e.f. 1-6-2001. Prior to its omission, the quoted portion, as amended by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978, Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988 and the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998, read as under : or he may set aside the assessment and refer the case back to the Assessing Officer for making a fresh assessment in accordance with the directions given by the Commissioner (Appeals) and after making such further inquiry as may be necessary, and the Assessing Officer shall thereupon proceed to make such fresh assessment and determine, where necessary, the amount of tax payable on the basis of such fresh assessment; 6. Words Deputy Commissioner (Appeals) or, as the case may be, the omitted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier Deputy Commissioner (Appeals) was substituted for Appellate Assistant Commissioner by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988 and or, as the case may be, the was inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 7. Inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 8. Words Deputy Commissioner (Appeals) or, as the case may be, the omitted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier Deputy Commissioner (Appeals) was substituted for Appellate Assistant Commissioner by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988 and or, as the case may be, the was inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 9. Inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 10. Words Deputy Commissioner (Appeals) or, as the case may be, the omitted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998. Earlier Deputy Commissioner (Appeals) was substituted for Appellate Assistant Commissioner by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988 and or, as the case may be, the was inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 11. Inserted by the Finance (No. 2) Act, 1977, w.e.f. 10-7-1978. 12. Inserted by the Finance Act, 2008, w.e.f. 1.4.2008. 13. Substituted vide THE FINANCE ACT, 2023 dated 31-03-2023 w.e.f. 01-04-2023 before it was read as, Powers of the 1 [* * *] 2 [ Commissioner (Appeals) ]. 14. Inserted vide THE FINANCE ACT, 2023 dated 31-03-2023 w.e.f. 01-04-2023 15. Substituted vide THE FINANCE ACT, 2023 dated 31-03-2023 w.e.f. 01-04-2023 before it was read as, 7 [Commissioner (Appeals)] 16. Substituted vide THE FINANCE ACT, 2023 dated 31-03-2023 w.e.f. 01-04-2023 before it was read as, an appeal, the 8 [* * *] 9 [Commissioner (Appeals)] 17. Substituted vide THE FINANCE ACT, 2023 dated 31-03-2023 w.e.f. 01-04-2023 before it was read as, raised before the 10 [* * *] 11 [Commissioner (Appeals)] 18. Substituted vide Section 77 of the Finance (No. 2) Act, 2024 dated 16-08-2024 w.e.f. 01-10-2024 before it was read as, Provided that where such appeal is against an order of assessment made under section 144, he may set aside the assessment and refer the case back to the Assessing Officer for making a fresh assessment;