TaxTMI 
TaxTMI 
2002 (5) TMI 48
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....ntral Board of Direct Taxes may empower the Director-General or Chief Commissioner or Commissioner to issue orders in writing that the powers and functions conferred on, or, as the case may be, assigned to, the Assessing Officer by or under this Act in respect of any specified area or persons or classes of person 's' or incomes or classes of income or cases or classes of cases, shall be exercised or performed by a Joint Commissioner or a Joint Director, and, where any order is made under this clause, references in any other provision of this Act, or in any rule made thereunder to the Assessing Officer shall be deemed to be references to such Joint Commissioner or Joint Director. According to the petitioner after Notification No. 267 of 2001, dated September 17, 2001, came into force, only the Joint Commissioner of Income-tax can function as the Assessing Officer, and the Income-tax Officer has no jurisdiction to deal with the assessee's matter. The petitioner also mentioned that the order passed by the Commissioner of Income-tax cannot supersede the statutory notification dated September 17, 2001. The petitioner also submitted that the Commissioner of Income-tax grossly erred in....
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....er income-tax authorities who are subordinate to it. (3) In issuing the directions or orders referred to in sub-sections (1) and (2), the Board or other income-tax authority authorised by it may have regard to any one or more of the following criteria, namely (a) territorial area; (b) persons or classes of persons; (c) incomes or classes of income; and (d) cases or classes of cases. (4) Without prejudice to the provisions of sub-sections (1) and (2), the Board may, by general or special order, and subject to such conditions, restrictions or limitations as may be specified therein, (a) authorise any Director-General or Director to perform such functions of any other income-tax authority as may be assigned to him by the Board (b) empower the Director-General or Chief Commissioner or Commissioner to issue orders in writing that the powers and functions conferred on, or, as the case may be, assigned to, the Assessing Officer by or under this Act in respect of any specified area or persons or classes of persons or incomes or classes of income or cases or classes of cases, shall be exercised or performed by a Joint Commissioner or a Joint Director, and, where any ....
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....e Director-General, Chief Commissioner or Commissioner to issue orders in writing that the powers and functions of an Assessing Officer in specified cases can be performed by the Joint Commissioner or Joint Director. Mr. Khanna contended that this said notification was imperative so that the powers given to the concerned official can be exercised. Mr. Khanna submitted that the powers given by the Central Board of Direct Taxes to Commissioners of Income-tax under section 120(4)(b) of the Act cannot be confused with the jurisdiction of the Assessing Officers under section 120(1) and (2) of the Act. Mr. Khanna further submitted that the term "Assessing Officer" defined in section 2(7A) of the Act includes Assistant Commissioner, Deputy Commissioner or Income-tax Officer vested with the relevant jurisdiction by virtue of directions or orders issued under sub-sections (1) and (2) of section 120 of the Act. Mr. Khanna also submitted that the joint Commissioner of Income-tax is not an Assessing Officer and normally assessment is to be done by the officer having jurisdiction over the assessee under section 120(1) and (2) of the Act, but under section 120(4)(b) powers can be given to the....
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....upon the area and classes of the assessees. Mr. Khanna contended that some cases are of extremely complicated nature and senior officers have to be entrusted the task of carrying out assessments of those cases. He stated that merely entrusting a special case to the senior officer does not mean that powers under section 120(1) and (2) shall not be exercised by the Income-tax Officers in all other cases. In other words, the jurisdiction of the Assessing Officer under section 120(1) and (2) cannot be confused with the powers of the Commissioner to appoint Joint Commissioner of Income-tax as Assessing Officers in specified categories of cases. The power under section 120(4)(b) of the Act to appoint and authorise Joint Commissioners as Assessing Officers in specified cases is a special power and that is exercised for special cases. Ordinarily, the jurisdiction is to be exercised by the Assessing Officer, who has jurisdiction over the assessee in terms of section 120(1) and (2) of the Act. Mr. Khanna further submitted that the Legislature was conscious of the fact that in some complicated cases it may be necessary that a senior officer of the rank of the Joint Commissioner of Income-t....