2024 (9) TMI 101 - SCH - Income Tax

Ceasure of income tax settlement commission - restriction to the filing of the application before the Interim Board for Settlement - by Finance Act, 2021, which was notified on 01.04.2021, the ITSC was abolished and an Interim Board was constituted only to deal with applications pending as of 01.02.2023 - revenue restricted the filing of the application before the Interim Board for Settlement only by the assesses who were eligible to file the application for settlement on 31.01.2021 - case of the Writ Petitioners that their statutory remedy of approaching the ITSC, cannot be taken away retrospectively - As decided by HC 2023 (11) TMI 1111 - MADRAS HIGH COURT Section 245C(5) of the Income Tax Act, 1961 (as amended by the Finance Act, 2021) is read down by removing the retrospective last date of 1st date of February, 2021 as 31st day of March, 2021. Consequently the last date of eligibility mentioned paragraph 4(i) of the impugned circular dated 28.09.2021 shall also be read as 31.03.2021 - All the applications in respect of the petitioners even in respect of the cases arising between 01.02.2021 to 31.03.2021 shall be deemed be pending applications and shall be deemed to be pending applications for the purposes of consideration by the Interim Board. Wherever they are rejected on the ground that they did not have a case pending as on 31.01.2021, such orders shall stand set aside and the applications shall be deemed to be pending applications for the consideration by the Interim Board, if otherwise in order and eligible, and shall be dealt with in accordance with law on merits in accordance with the scheme that may be framed by the Central Government as in respect of the other cases which arose prior to 31.01.2021. HELD THAT - We have heard learned Additional Solicitor General for the petitioners and learned senior counsel for the respondent(s)- caveator at length. We are not inclined to interfere in the matters. However, the question of law, if any, shall remain open.The special leave petitions are dismissed. Pending application(s), if any, shall also stand disposed of.

Summary

The Supreme Court dismissed the special leave petitions after hearing both parties. The Court did not interfere in the matters but left the question of law open. Delay was condoned and pending applications were disposed of. Some special leave petitions were withdrawn by the petitioners.