Draft assessment objections and appeal rights are independent; missing section 144B objections does not bar challenge to final assessment.

The right to object to a draft assessment order under section 144B and the right to appeal against the final assessment under section 246 are separate and independent remedies. Failure to file objections within the prescribed time does not amount to acceptance of the draft assessment order and does not extinguish the statutory right to challenge the assessment in appeal. An assessee may still dispute the assessed income before the appellate authority even without having filed draft-order objections.

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Issues: Whether an assessee who does not file objections to a draft assessment order within the time prescribed under section 144B of the Income-tax Act, 1961, loses the right to maintain an appeal under section 246 against the final assessment.

Analysis: The right to raise objections under section 144B and the right to appeal against the ultimate assessment are separate and independent remedies. Mere failure to file objections within the prescribed time does not amount to positive acceptance of the draft assessment order, nor does it forfeit the statutory right to challenge the assessment in appeal. The assessee remains entitled to question the assessed income even if no objections were filed before the assessing authority.

Conclusion: The appeal was maintainable, the order of the Commissioner (Appeals) was set aside, and the matter was remitted for fresh decision on merits.

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