Doctrine of Merger in Income Tax Assessment: An Analysis of ITAT Chennai's Recent Judgment

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... rinciples. One such principle that has gained significance over the years is the "Doctrine of Merger." This doctrine becomes particularly relevant when appeals or revisions are filed against assessment orders. In a recent judgment by the Income Tax Appellate Tribunal (ITAT) Chennai, the doctrine of merger took center stage, and its implications are worth examining. The Case: The case i .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... assessment was eventually framed under Section 153C, making specific disallowances. * Doctrine of Merger: The taxpayer contended that since the larger issues, including legal issues, were already pending before the Commissioner of Income Tax (Appeals) (CIT(A)) in the appeal against the order passed under Section 153C r.w.s 144, the doctrine of merger applied. According to this doctrine, when .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e ITAT allowed the taxpayer's appeal, stating that the revision under Section 263 was bad-in-law and should be quashed. Conclusion: The doctrine of merger plays a crucial role in income tax assessments and appeals. In the case discussed above, it acted as a safeguard for the taxpayer's rights, preventing the revisory jurisdiction from being exercised when larger issues were already under .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X