2018 (9) TMI 155 - HC - Income Tax

Challenges to Tribunal's Decision on Income Tax Assessment Orders

Cooperative Centrale RaiffeisenBoerenleenbank B.A. Versus Deputy Director of Income Tax International Taxation 1 (2)

The Appeals challenged the Income Tax Appellate Tribunal's order for Assessment Years 2002-03, 2003-04, and 2005-06. The primary issue was the Tribunal's ... Rectification application - Held that:- In view of the pending rectification application at the request of the Appellant, the appeal was adjourned to 9th July, 2018. Incidentally, in the above letter dated 18th June, 2018, addressed to the Registry of the Tribunal, the next date being of 9th July, 2018, is not mentioned. It appears that the Appellant is not serious about prosecuting its application before the Tribunal. At the request of Mr. Jasani, we give one more opportunity to have the rectification application before the Tribunal disposed of before the next date. In the absence of an order from the Tribunal before the next date, we would be constrained to decide the Appeal Memo on the basis of the challenge contained herein. No further adjournment on this ground, would be granted. Issues:1. Challenge to the order of the Income Tax Appellate Tribunal dated 1.4.2015 for Assessment Years 2002-03, 2003-04, and 2005-06.2. Justification of the Tribunal's decision to restore the matter to the Assessing Officer.3. Delay in filing an application for rectification of the impugned order.4. Seriousness of the Appellant in prosecuting its application before the Tribunal.Analysis:1. The Appeals under Section 260A of the Income Tax Act, 1961 challenged the order dated 1.4.2015 passed by the Income Tax Appellate Tribunal concerning Assessment Years 2002-03, 2003-04, and 2005-06. The primary issue raised by the Appellant was whether the Tribunal was justified in sending the matter back to the Assessing Officer despite having all the necessary material to make a decision on the dispute between the parties.2. The Appellant, represented by Mr. Jasani, sought adjournments on multiple occasions to file an application for rectification of the impugned order. The Appellant's counsel requested time to address the matter, indicating an intention to rectify the order dated 1.4.2015. However, discrepancies arose regarding the timeline and seriousness of the Appellant's efforts to pursue the rectification application before the Tribunal.3. Despite the Appellant's claims of addressing a letter to the Registry seeking listing of the rectification application, discrepancies were noted in the communication. The Court expressed concerns about the Appellant's commitment to prosecuting the application before the Tribunal. In response to these concerns, the Court granted one final opportunity to the Appellant to have the rectification application disposed of before the next hearing date.4. Emphasizing the importance of timely resolution, the Court warned that if no order was received from the Tribunal by the specified date, the Court would proceed to decide the Appeal Memo based on the existing challenge. The Court made it clear that no further adjournments would be granted on the grounds related to the rectification application. The matter was adjourned for a final time, providing the Appellant with a last chance to address the rectification application before the next scheduled hearing on 6th August, 2018.