TaxTMI 
TaxTMI 
2019 (6) TMI 402
X X X X Extracts X X X X
X X X X Extracts X X X X
....learned counsel for the petitioner and Mr.A.P.Srinivas, learned Senior Standing Counsel for the respondents. 3. The petitioner is an assessee on the file of the 1st respondent and suffered an order of assessment in respect of assessment year 2013-14, vide order dated 22.03.2016. He filed an appeal against the same before the CIT(A)/the 2nd respondent herein, filed manually on 28.04.2016. 4. Rule 45 of the Income Tax Rules, 1962 ('Rules') provide for the form of appeal to the CIT(A). With effect from 01.03.2016, the Rules stood amended to state, among other things that, any appeal to be filed before the CIT(A) in Form No.35, shall, in the case of a person who is required to furnish return of income electronically under Rule 12(3), ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....n that the appeal had been filed on 02.05.2016 manually and thus, was defective in the light of Rule 45 of the Rules. A notice was thus issued on 11.12.2018 pointing out the aforesaid defect and calling for rectification thereof in the following terms. Rule 45 of the Tax Rules, 1962 mandates compulsory e-filing of appeals before the Commissioner of Income Tax(Appeals) with effect from 01.03.2016 in respect of persons who are required to furnish return of income electronically. The due date was extended upto 15/06/2016. It appears from this office record that you have filed appeal for the AY 2013-14 in paper Form-35 instead of e-filing. 2. In view of the above, your appeal is proposed to be treated as non-est. 3. In case you have fil....
X X X X Extracts X X X X
X X X X Extracts X X X X
....is effective, 01.03.2016. However, the Central Bureau of Direct Taxes, in recognition of the position that assessees were not fully aware of the new procedure, had issued Circular No.20/2016 dated 26.05.2016. The Circular recognizes the lacunae in the e-filing procedures. It also admits that Electronic Verification Functionality for the verification of e-appeals was made operational only with effect from 12.05.2016 for individuals and from 19.05.2019 for other persons. 11. There were other issues as well including the prescription for word limit for grounds of appeal as well as the mapping of jurisdiction of the Appellate Commissioner. In recognition of the aforesaid difficulties, the time limit for application of the Circular was extended....
X X X X Extracts X X X X
X X X X Extracts X X X X
....in the light of the aforesaid Circular, as to whether, the appeal filed manually by the petitioner on 28.04.2016 is to be treated as a valid appeal to be heard and disposed on merits. 13. Clearly, the amendment to Rule 45 is a continuation of the process of technological upgradation of the Income Tax Department. This process has commenced more than a several decade ago with various electronic features being introduced periodically into the Act and the Rules, such as, filing of returns, maintenance of records and now filing of appeals as well. While it is a laudable object, one cannot lose sight of the position that there are several difficulties that have been encountered both on the part of the Department as well as the Assessees in effec....