Appeals to the Appellate Tribunal - Section 253 - Income Tax - Ready Reckoner - Income Tax

Appeals to the Appellate Tribunal - Section 253 1. Orders against which appeal may be filed by the assessee [ Section 253(1) ]: - Any assessee aggrieved by any of the following orders may appeal to the Appellate Tribunal against such order- (a) an order passed by a Deputy Commissioner (Appeals) before the 1st day of October, 1998 or, as the case may be, a Commissioner (Appeals) Order making rectification under section 154 Levy of interest and penalty in certain cases Section 158BFA [ Inserted vide Finance (No. 2) Act, 2024 w.e.f. 01.10.2024 ] Order of CIT (Appeals) passed under section 250 , Order passed under section 270A , imposing penalty under section 271 , section 271A , section 271AAB , section 271AAC , section 271AAD , section 271J or section 272A ; or (aa) an order passed by a Joint Commissioner (Appeals) under section 154 , section 250 , Imposing penalty under section 270A , section 271 , section 271A , section 271AAC , section 271AAD section 271J ; or (b) an order passed by an Assessing Officer under clause ( c ) of section 158BC , in respect of search initiated under section 132 or books of account, other documents or any assets requisitioned under section 132A , after the 30th day of June, 1995, but before the 1st day of January, 1997; or (ba) Order passed by the Assessing Officer under section 115VZC(1) expelling shipping company from Tonnage Tax Scheme w.e.f. October,1, 2004; or. (C) an order passed by a Principal Commissioner or Commissioner: - Order of CIT passed under section 12AA or w.e.f. 1.4.2021, section 12AB refusing to register the trust as religious/charitable trust or cancelling the registration of religious/charitable trust. - An order passed by CIT under section 80G(5)(vi) refusal of grant approval of institution or fund - Order of CIT passed under section 263 . - Order u/s 270A [ order imposing penalty for under reporting income or mis-reporting income ] - Order of CIT imposing penalty u/s 271 or 272A - Order of CIT passed under section 154 amending his order passed under section 263 a Principal Chief Commissioner or Chief Commissioner or a Principal Director General or Director General or a Principal Director or Director - Order of CIT passed under section 263. - Order of CIT imposing penalty u/s 272A - Order of CIT passed under section 154 rectifying or refusing to rectify his order of penalty; or. (d) Order of Assessing Officer - under section 143(3) or section 147 or - section 153A in pursuance of the directions of the Dispute Resolution Panel or - an order passed under section 154 in respect of such order; or. (f) order passed by the prescribed authority under sub-clause (iv) or (v) or (vi) or (via) of section 10(23C) . Universities and other educational institutions or hospital and medical institutions can now file an appeal to the Tribunal against the order of rejection of the application made for the approval of the said institution. Note:- Order under section 264 is a final order and no appeal is possible against it. 2. Principal Commissioner or Commissioner may also direct the AO to file an appeal [ Section 253(2) ] The Commissioner may, if he objects to an order passed by CIT (Appeals) under section 154 or 250 , direct the Assessing Officer to appeal to the ITAT against the order. 3. Procedure for filing appeal to Appellate Tribunal [ Section 253(3), (4), (5) and (6) ] Time limit for filing appeal [ Section 253(3) ] :- From 01.10.2024 - The appeal to the ITAT shall be filed two months from the end of the month in which the order sought to be appealed against is communicated to the assessee or to the CIT, as the case may be. Upto 30.09.2024 - The appeal to the ITAT shall be filed within 60 days of the date on which the order sought to be appealed against is communicated to the assessee or to the CIT, as the case may be. In respect of any appeal under of section 253(1)(b) of section , this sub-section shall have effect as if for the words sixty days , the words thirty days had been substituted. Filing of cross objections and time limit [ Section 253(4) ] :- The Assessing Officer or the assessee, as the case may be, on receipt of notice that an appeal against an order, has been preferred under section 253(1) or section 253(2) by the other party, may, notwithstanding that he may not have appealed against such order or any part thereof, within 30 days of the receipt of the notice, file a memorandum of cross-objections, verified in the prescribed manner, against any part of such order, and such memorandum shall be disposed of by the Appellate Tribunal as if it were an appeal presented within the time specified in section 253(3). Condonation of delay of time limit [ Section 253(5) ] : - The Appellate Tribunal may admit an appeal or permit the filing of a memorandum of cross-objections after the expiry of the relevant period referred to in section 253(3) or section 253(4), if it is satisfied that there was sufficient cause for not presenting it within that period. Prescribed Forms and Documents to accompany [ Section 253(6) and Rule 47 ]: - An appeal to the Appellate Tribunal shall be in the Form No. 36 and memorandum of cross objection in Form No. 36A . The appeal and memorandum etc. are to be filed in triplicate and shall be accompanied by 2 copies of the order appealed against 2 copies of the order of AO. The appeal against the assessment order passed in pursuance of the directions of the Dispute Resolution Panel shall be filed before the Appellate Tribunal in Form No. 36B . [ Rule 14 of Income-tax (Dispute Resolution Panel) Rules, 2009 ] No fee shall be payable in the case of - an appeal referred to in section 253(2), or, - section 253(2A) as it stood before its amendment by the Finance Act, 2016, or, - a memorandum of cross objections referred to in section 253(4). In the case of an appeal made, on or after the 1st day of October, 1998 , irrespective of the date of initiation of the assessment proceedings relating thereto, be accompanied by a fee of,- a. Where the total income/loss of the assessee as computed by the AO in the case to which the appeal relates is ₹1,00,000 or less ₹500 b. Where the total income/loss of the assessee as computed aforesaid is more than ₹1,00,000 but does not exceed ₹2,00,000 ₹1,500 c. Where it exceeds ₹2,00,000 1% of the assessed income (Subject to maximum of ₹10,000) d. Where the subject-matter of the appeal relates to any matter other than specified in clauses (a), (b) and (c) above ₹500 4. Fee for stay on demand An application for stay of demand shall be accompanied by a fee of five hundred rupees. [ Section 253(7) ] Every application for stay of recovery of demand of tax, interest, penalty, fine or any other sum shall be presented in triplicate by the applicant. 5. Central Government may make a scheme for the purposes of appeal to the Appellate Tribunal under section 253(2) The Central Government may make a scheme, by notification in the Official Gazette, for the purposes of appeal to the Appellate Tribunal under section 250(2), so as to impart greater efficiency, transparency and accountability by- - (a) optimising utilisation of the resources through economies of scale and functional specialisation; - (b) introducing a team-based mechanism for appeal to the Appellate Tribunal, with dynamic jurisdiction. [ Section 253(8) ] The Central Government may, for the purpose of giving effect to the scheme made under section 253(8), by notification in the Official Gazette, - direct that any of the provisions of this Act shall not apply or shall apply with such exceptions, modifications and adaptations as may be specified in the notification: - No direction shall be issued after the 31st day of March, 2024 2025 (Substituted vide The Finance Act, 2024 dated 15-02-2024 w.e.f. 01-04-2024) [ Section 253(8) ] Every notification issued under section 253(8) and (9) shall, as soon as may be after the notification is issued, be laid before each House of Parliament. [ Section 253(10) ]