Guidelines to Chief Comm./Dir. Gen.(Inv) with respect to acceptance or contesting of adverse orders of Settlement Commission. - Income Tax - 1789/CBDT

INSTRUCTION NO. 1789/CBDT Dated: April 19, 1988 The Board's Instruction NO.1775 (F.No. OSD/CH-DT/87-88 A.11015/2/87-Ad.VII dated the 23rd October, 1987 provides, inter alia, that the decision to accept or contest adverse orders of the Settlement Commission will be taken by the concerned Chief Commissioner or, as the case may be the concerned Director General (Inv.). In the Board's Instruction No.1777 (F.No. 279/110/87-IT(J) dated 4th November, 1987 guidelines have been laid down for filing appeals against adverse judgements of High Courts/ITAT etc. These should be followed while scrutinising adverse orders of the Settlement Commission also. 2. As per the Board's letter F.No.282/8/800-IT(nv.) dated the 27th August, 1980, Commissioners of Income-tax are required to send to the Board detailed report on such orders of the Settlement Commission as, are according to them, incorrect and unacceptable. The report was required to be furnished within ten days of the receipt of the order by the Commissioner. Now that the functions of accepting or contesting adverse orders of the Settlement Commission have been assigned to the Chief Commissioners of Income-tax and Directors General(Investigation), Commissioners should send their reports to the concerned Chief Commissioner of Income-tax or as the case may be the concerned Director(Inv) under whom they are working and not to the Board. Chief Commissioners of Income-tax/Directors General (Inv,) may, having regard to the work situations in respect of their charges and other relevant factors, instruct the Commissioners working under them about the manner in which and the time by which reports should be furnished to them. 3. In cases where Chief Commissioners of Income-tax/Directors General(Inv.) decide to contest the adverse order of the Settlement Commission by filing SLP before the Supreme Court, they should send proposal to the Board for further processing in accordance with the Board's Instruction No.1777 dated 4th November, 1987. The proposal alongwith the original copy of the Settlement Commission's order should reach the Board within 20 days of the receipt of the Settlement Commissioner's order by the concerned Commissioner of Income-tax. 4. The existing practice of sending copies of orders with comments to the Board by the Commissioner of Income-tax(DR) before the Settlement Commission every month, shall stand discontinued with immediate effect. Henceforth, he should send copies of orders and his comments to the concerned Chief Commissioner of Income-tax and the concerned Directors General(Inv.). 5. These Instructions may please be brought to the notice of all Commissioners of Income-tax of your charge.