2012 (10) TMI 1084 - HC - Income Tax

Review petition dismissed for Income Tax appeal time limit. Amendment not retroactive. Appeal rightly dismissed.

The High Court dismissed the review petition seeking to recall an order dismissing an Income Tax appeal based on limitation. The court held that the ... - Issues involved:The review petition seeks to recall an order dismissing an Income Tax appeal u/s 260-A on the ground of limitation. The petitioner argues for condonation of delay based on a subsequent amendment u/s 260-A (2A) inserted by the Finance Act, 2010. The main issue revolves around whether the court can now condone the delay beyond the statutory period due to the amendment.Judgment Details:Issue 1: Condonation of DelayThe petitioner requested the recall of the order dismissing the appeal solely on the ground of limitation. The High Court considered the amendment u/s 260-A (2A) introduced by the Finance Act, 2010, which allows for condonation of delay beyond the statutory period if sufficient cause is shown. However, the court relied on the Full Bench decision in CIT v. Farooqui & others, stating that the provisions of sections 4 to 24 of the Limitation Act, 1963, are not applicable to appeals under Section 260-A of the Income Tax Act. The court emphasized that the amendment does not apply retrospectively to cases already settled before its introduction, citing the principle of prospective over-ruling to avoid reopening settled issues. Therefore, the court held that the appeal was rightly dismissed as per the law in force at the time, and the subsequent amendment does not apply to concluded cases.Conclusion:The High Court dismissed the review petition, finding no merit in the petitioner's argument for condonation of delay based on the subsequent amendment u/s 260-A (2A). The court upheld the original order dismissing the appeal on the ground of limitation, emphasizing that the amendment does not apply retrospectively to cases that have already attained finality.