1985 (1) TMI 124

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ld on the ground that there was no appeal provided remedying the situation under section 246(1)(c) of the Act. 2. The assessee filed an appeal before the Commissioner (Appeals) against the order dated 27-1-1982 passed by the IAC giving effect to the order of the Tribunal, Delhi Bench ' E ', in IT Appeal Nos. 1326 and 1554 (Delhi) of 1979 and 423 and 4071 (Delhi) of 1980, dated 30-11-1981, in which three contentions were raised as follows : (a) that the IAC erred in not allowing deduction of Rs. 3,21,570 in respect of entertainment expenses in recomputing the taxable income ; (b) that the appellant company was wrongly denied payment of interest by the Government under section 244(1A) in respect of refund worked out in favour of the ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....plicable but the IAC has not granted the interest due to the appellant company under section 244(1A). I pointed out to the authorised representative that the Commissioner (Appeals) has jurisdiction to hear appeals against orders specified in sub-section (2) of section 246 of the Income-tax Act, the grant of interest under section 244(1A) does not appear to be one of the items in respect of which an appeal can be filed before the Commissioner (Appeals) and I express my inability to deal with this matter as there is no appeal provided against the action or inaction of the ITO/IAC in respect of claim for interest under section 244(1A). Accordingly, this ground of appeal is rejected." 5. Before us, Shri K.K. Mehra, the chartered accountant a....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....of sub-section (1), when such order is made by the IAC in exercise of the powers or functions conferred on or assigned to him under section 125 or section 125A of the Act. 8. Clauses (a) and (c) of sub-section (2) of section 246 enlarged the assessee's right to approach the Commissioner (Appeals). Therefore, the principle laid down in Mahabir Parshad & Sons' case, though refers to the provision of section 246(1)(c), governs right of filing of appeal under section 246(2) also, which has the effect of making the judgment governing the present case also. 9. There is no dispute from the revenue that the assessee-company filed a valid appeal before the Commissioner (Appeals) and the latter did decide one ground in favour of the assessee an....