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    Amendment of assessments in cases where appellate proceedings result in a change in the assessment o...
    Procedural Mechanisms for Executing Supreme Court Cost Awards under Indian Income Tax Law : Clause 3...
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    Act RulesBills
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    Consequential amendment of member assessments: appellate modification must trigger authorised adjustments to individual tax liabilities.
    Clause 371 requires that when appellate proceedings alter or direct a new assessment of a body of individuals or association of persons, the appellate authority must authorise the Assessing Officer to amend or make a fresh assessment of any member; the authorisation is mandatory, and the Assessing Officer may act only pursuant to that order. The clause modernises appellate references and retains the two-step mechanism while raising interpretive issues concerning the scope of "any member", timelines for action, and the definition of "fresh assessment".
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    Execution of Supreme Court cost orders: High Courts may transmit awards for local enforcement under established execution rules.
    The High Court, on petition, may transmit an order of the Supreme Court awarding costs to any court subordinate to the High Court for execution; the provision is limited to cost-related orders, is discretionary in application, requires adherence to execution rules and the Code of Civil Procedure, and mirrors the predecessor provision, leaving unresolved questions about the scope of "costs," appropriate subordinate fora, and special procedures where a government entity is the judgment debtor.
    Act RulesBills
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    No automatic stay on tax recovery: assessed tax remains payable during appellate pendency unless a specific judicial stay is granted.
    Clause 369 requires that tax determined by an assessment order is payable despite the filing of an appeal to the High Court or Supreme Court, reflecting the No Automatic Stay principle that assessment orders remain enforceable unless a competent forum grants a specific stay; it narrows scope to appeals at the highest judicial levels, streamlines language compared with Section 265, and places onus on taxpayers to obtain interim relief if they seek to defer payment while preserving courts' discretion to grant stays subject to conditions.
    Act RulesBills
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    Faceless tax administration expanded: scheme-making power permits executive modification of tax law subject to parliamentary laying.
    Clause 532 grants the Central Government power to notify schemes for any purpose of the Income Tax Act, 2025 to eliminate taxpayer interface and optimize resources, and to direct that Act provisions may be excluded or modified for scheme implementation; notifications must be laid before both Houses of Parliament and existing faceless schemes under the 1961 Act may be amended to ensure continuity.
    Act RulesBills
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    Power to frame schemes expands executive authority to implement faceless, centralized tax administration with parliamentary oversight.
    Clause 532 authorizes the Central Government to notify schemes for any purpose under the Income Tax Act, permit notification based exceptions or adaptations of statutory provisions to implement those schemes, amend or continue existing schemes, and requires that such notifications be laid before both Houses of Parliament, thereby enabling faceless, centralized, and technology driven administration while raising concerns about the breadth of delegated legislative power and the indeterminate standard of technological feasibility.
    Act RulesBills
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    Revisionary jurisdiction prevents orders prejudicial to the assessee while ensuring timely administrative review and minimum processing time.
    Clause 378 empowers senior tax officials as the Competent Authority to revise subordinate orders suo motu or on application, provided any revision is not prejudicial to the assessee. It prescribes one year limitation periods for initiation, allows condonation for sufficient cause, requires a nominal application fee, mandates disposal within a year from the end of the financial year of filing with specified exclusions for rehearings and judicial stays, and introduces a minimum sixty day residual period after exclusions for completion of revision.
    Act RulesBills
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    Revisionary power: Competent Authority can revise orders prejudicial to revenue after hearing and within limitation.
    Clause 377 empowers a defined Competent Authority to call for and examine the record of proceedings and, after giving the assessee an opportunity of being heard and making necessary inquiry, to revise orders that are erroneous and prejudicial to the revenue by enhancing, modifying, cancelling or directing fresh assessments, including specified transfer pricing orders; it sets a two year limitation subject to exceptions to give effect to appellate directions and excludes certain periods from the limitation computation.
    Act RulesBills
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    Appeals to Supreme Court: new bill mirrors CPC procedure but omits a saving proviso, raising interpretive risk.
    Clause 368 adopts the Code of Civil Procedure procedures for appeals to the Supreme Court "so far as may be", vests the Court with discretion on costs, and mandates that where a High Court judgment is varied or reversed, effect be given to the Supreme Court's order through the Bill's prescribed execution mechanism. The saving phrase and the absence of an express proviso preserving other reference and stay provisions are central interpretive and practical concerns.
    Act RulesBills
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    Certification for Supreme Court appeal restricts access to cases presenting substantial legal questions, streamlining appellate tax litigation.
    Clause 367 confines appeals to the Supreme Court from High Court judgments to cases which the High Court certifies as fit for appeal and reframes the source of such appeals to judgments delivered on appeals under section 363, streamlining the previous reference/appeal bifurcation and maintaining a high certification threshold to limit review to substantial questions of law or issues of public importance.
    Act RulesBills
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    Multi-judge bench requirement ensures collective resolution of contested legal points in tax appeals under the new bill.
    Clause 366 mandates a multi-judge bench requirement for specified tax appeals, directing that matters be heard by not less than two judges and decided according to the majority opinion; if no majority arises, judges must state the precise point of law in dispute, the point is reheard by additional judges, and the final decision on that point is determined by the majority of all judges who have heard the case.
    Act RulesBills
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    Substantial question of law: High Court appeals limited to legal issues, streamlining tax appellate review and implementation.
    Clause 365 permits appeals to the High Court from Appellate Tribunal orders only when the High Court is satisfied a substantial question of law arises; it prescribes eligible appellants, a time-limited memorandum-based filing, condonation for sufficient cause, High Court formulation and limitation of the question(s) heard (with power to add questions for recorded reasons), reasoned judgments with costs, authority to decide issues not determined or wrongly decided by the Tribunal, application of Civil Procedure rules, and an express duty on the Assessing Officer to give effect to the High Court's judgment.
    Act RulesBills
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    Procedural autonomy preserved in appellate tribunal; statutory cross references modernized while e governance provisions omitted, affecting bench practice.
    Clause 364 maintains the President's authority to constitute Benches, preserves the dual Judicial and Accountant member default and Special Benches for significant issues, permits single member disposal for lower value matters subject to presidential or authorised member designation, grants the Tribunal procedural autonomy and quasi judicial powers, modernises cross references to new penal and procedural statutes, and omits previous express provisions enabling executive notification of e governance schemes, raising transitional and implementation questions.
    Act RulesBills
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    Tribunal Orders: stay limits and rectification rules balance taxpayer rights and revenue protection in the appellate process.
    Clause 363 establishes the Tribunal's authority to decide appeals after hearing parties, permits rectification of mistakes apparent from record within a prescribed period subject to a nominal fee and hearing where liability is increased, and prescribes an aspirational timeline for disposal. It provides a conditional stay-of-recovery regime requiring deposit or security with limited extension criteria and automatic vacation if disposal does not occur within the aggregate period; the Tribunal may award costs, must communicate orders to the assessee and Commissioner, and its orders are final save for specified statutory exceptions.
    Act RulesBills
    Show AI Summary
    Appeals to Appellate Tribunal: modernized scope, uniform timelines, cross-objection rights, fee rationalisation preserved.
    Clause 362 modernizes appeals to the Appellate Tribunal by listing appealable orders across the reorganized administrative hierarchy, prescribing a uniform filing period, permitting respondents to file cross-objections treated as independent appeals, allowing the Tribunal to condone delay for sufficient cause, and setting form, verification and a progressive fee regime while exempting revenue appeals and cross-objections from fees.
    Act RulesBills
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    Tribunal independence: bifurcated appointment and service rules safeguard ITAT members' conditions and transitional rights.
    Clause 361(2) and Section 252A use non obstante language to govern ITAT members' qualifications, appointments, term, salaries, allowances, resignation and removal by bifurcating applicable regimes: post Tribunals Reforms Act, 2021 appointees are governed by Chapter II of that Act (detailing qualifications, a Search cum Selection Committee, tenure and service conditions), while pre Finance Act, 2017 appointees remain governed by the Income tax Act, 1961 and its rules as if the contested Finance Act provision had not come into force.
    Act RulesBills
    Show AI Summary
    Appellate tribunal constitution updated to centralize appointments and delegate presidential powers, affecting tribunal independence and transitional safeguards.
    Clause 361 maintains a multi member Appellate Tribunal of Judicial and Accountant Members while empowering the Central Government to determine member strength; mandates that the President be a High Court judge with substantial judicial experience or a Vice President; permits appointment of one or more Vice Presidents; and authorizes delegation of presidential powers to Vice Presidents by written order. The clause defers detailed eligibility and service conditions to the general tribunal framework and includes a transitional rule preserving pre existing service conditions for incumbents.
    Act RulesBills
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    Appellate Powers: authority to modify assessments and penalties subject to a reasonable opportunity to be heard.
    The appellate authorities may confirm, reduce, enhance, or annul assessments and may confirm, cancel, or vary penalty orders; the Commissioner (Appeals) alone may set aside assessments and remit for fresh assessment in specified cases. Any enhancement of assessment or penalty or reduction of refund requires a reasonable opportunity for the appellant to show cause. The appellate authority may consider and decide any matter arising from the proceedings, and must take into account materials produced before the Settlement Commission where proceedings abate.
    Act RulesBills
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    Appeal procedure: preservation of right to be heard, reasoned orders, and discretionary powers for inquiry and additional grounds.
    Clause 359 sets the appellate procedure before first instance tax authorities, affirming the right to be heard, notice of hearing, powers to adjourn and direct further inquiry, discretion to admit additional grounds of appeal if omission was not wilful or unreasonable, a requirement for written reasoned orders specifying points for determination and decisions, a directory timeline aiming at one year disposal where possible, and communication of orders to the assessee and appropriate senior tax officials.
    Act RulesBills
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    Appeal procedure: prescribed form, 30 day limitation, pre deposit requirement with written reason exemptions permitted.
    Clause 358 preserves the Section 249 appellate framework by requiring appeals in prescribed form and verification, imposing a graded appeal fee related to assessed income, and setting a thirty day limitation from service of the order or demand. It excludes time spent on specified relief applications from limitation, permits condonation of delay for sufficient cause, and conditions admission on payment of tax on returned income or advance tax where no return is filed, while allowing written reason exemptions from the advance payment requirement.
    Act RulesBills
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    Appellate jurisdiction redefined: Clause 357 sets scope of appealable tax orders and preserves DRP-related exclusions.
    Clause 357 defines the orders appealable to the Commissioner (Appeals), listing assessment, reassessment, recomputation, intimation adjustments, orders treating a person as agent of a non-resident, and penalty orders, while preserving exclusions for orders following Dispute Resolution Panel directions and allowing the Board to specify additional appealable cases; it updates and consolidates categories previously under Section 246A and raises interpretive issues concerning exclusions, newly numbered sections, penalty consolidation, and transitional treatment of pending appeals.

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      Review of concessional rates of BCD prescribed in notification no. 50/2017 - Customs dated 30.62017: The BCD exemption hitherto available on certain goods are being withdrawn by omitting following entries of notification No. 50/2017-Customs dated 30.6.2017.

      3 February, 2020

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      Budget 2020-21 + FINANCE BILL, 2020

      S. No.

      S. No. of Notification No 50/2017-customs

      Description

      1.

      5

      Tuna bait [0303]

      2.

      7

      Goods upto an aggregate of ten thousand metric tonnes of total imports of Milk and cream, in powder, granules or other solid form in a financial year. [0402 10, 0402 21 00]

      3.

      7A

      Whey, concentrated, evaporated or condensed, liquid or semi-solid [0404 10 10]

      4.

      7B

      Other Whey [0404 90 00)

      5.

      8

      Butter Ghee, Butter Oil [0405]

      6.

      9

      Other cheese [0406 90 00)

      7.

      10

      Pancreas (Products of animal origin, not elsewhere specified) (Chapter 5]

      8.

      11

      Conch shell [0508 00]

      9.

      18

      Bulbs or tubers, other live plants [0601 or 0602]

      10.

      36

      All goods other than meslin or wheat [1001]

      11.

      38

      Meslin [1001]

      12.

      40

      Maize upto an aggregate of five lakh metric tonnes of total imports of such goods in a financial year [1005 90]

      13.

      47

      Sugar beet seeds [1209 10 00)

      14.

      56

      Edible oils [1508, 1512, 1513, 1514, 1515 or 1511 10]

      15.

      58

      Refined vegetable oils of edible grade, in loose or bulk form (other than palm oil) [chapter 15]

      16.

      59

      Vegetable oils of edible grade, in loose or bulk form (other than those specified against S. No. 58 and palm oil), imported for the manufacture of oil commonly known as “Vanaspati” or for refining.

      Explanation. -The expression “Vegetable oil” means-

      (a) in the case of cottonseed oil, oil having a free fatty acid content of at least 0.2%; and

      (b) in the case of any other vegetable oil. oil with free fatty acid content of at least 0.5%. [15]

      17.

      68

      Crude sunflower seed or safflower oil upto an aggregate of one lakh and fifty thousand metric tonnes of total imports of such goods in a financial year [1512 11]

      18.

      69

      Crude sunflower seed or safflower oil other than those specified against S. No. 68 [1512 11]

      19.

      72

      Refined rape, colza or mustard oil upto an aggregate of one lakh and fifty thousand metric tonnes of total imports of such goods in a financial year (1514 19 or 1514 99]

      20.

      78

      Margarine, animal or vegetable oils of edible grade [1517 or 1518]

      21.

      83

      Glycerol, crude; glycerol waters and glycerol lyes, (other than crude glycerin) [1520 00 00]

      22.

      88A

      Raw Sugar upto an aggregate of three lakh metric tonnes of total imports of such goods. Provided that the import of raw sugar in physical form is completed within sixty (60) days from the date of issue Of the Tariff Rate Quota Allocation Certificate or license by Directorate General of Foreign Trade (DGFT) to the importer. Provided further that the importer shall convert the raw sugar into white/ refined sugar within a period, not exceeding thirty (30) days, from the date of filing of bill of entry or the date of entry inwards, whichever is later [1701]

      23.

      89

      Dextrose Monohydrate [1702)

      24.

      92

      Molasses resulting from extraction or refining of sugar [1703]

      25.

      93

      Chewing gum whether or not sugar coated [1704 10 00]

      26.

      94

      Food preparations, for infant use and put up for retail sale, of-

      (i) goods of headings 0401 to 0404, containing cocoa calculated on a totally defatted basis, in a proportion by weight of 5% or more but less than 10%; or

      (ii) flour, meal, starch or malt extract containing cocoa calculated on a totally defatted basis, in a proportion by weight of 40% or more but less than 50% [1806 90)

      27.

      95

      Preparations for infant use put up for retail sale [1901 10]

      28.

      98

      preserved potatoes [2004 10 00]

      29.

      99

      Peanut Butter [2008 11 00]

      30.

      105

      Wine, for use as sacramental wine [22]

      31.

      108

      Angostura bitters [2208]

      32.

      113

      Fin fish feed [2301 20, 2309 90 32, 2309 90 39]

      33.

      115

      Dietary soya fibre [2304]

      34.

      148

      Naphtha, when imported by Ratnagiri Gas and Power Private Limited (RGPPL), for use in generation of electricity in the power plants of Ratnagiri Gas and Power Private Limited (RGPPL) at Dabhol, District Ratnagiri, Maharashtra [2710]

      35.

      149

      Naphtha, when imported for generation of electrical energy by a generating company as defined in section 2(28) of the Electricity Act, 2003 (36 of 2003) to supply electrical energy-or to engage in the business of supplying electrical energy [2701]

      36.

      152

      Propane, Butane [2711 12 00, 2711 13 00]

      37.

      160

      Electrical energy [ 2716 00 00]

      38.

      170

      Phosphoric acid, for the manufacture of fertilizers(28]

      39.

      212

      Japanese Encephalitis (JE) vaccine, imported by the Andhra Pradesh Government through UNICEF [30]

      40.

      220

      Kyanite salts, in a form indicative of their use for manurial purpose [31]

      41.

      243

      Isolated soya protein [3504]

      42.

      244

      Colour positive unexposed cinematographic film in jumbo rolls and colour negative unexposed cinematographic film in rolls of 400 feet and 1000 feet [37]

      43.

      245

      Instant print film [3701 20 00 or 3702]

      44.

      246

      Cinematographic films, exposed but not developed [3704]

      45.

      247

      Promotional material (like Trailers, making of film etc.) imported in the form of electronic promotion kits (EPK)/ beta cams (Any Chapter)

      46.

      263

      The following polymers of ethylene, namely: -

      (i) Cow density polyethylene (LDPE),

      (ii) Linear low-density polyethylene (LLDPE),

      (iii) High density polyethylene (HDPE),

      (iv) Linear medium density polyethylene (LMDPE),

      (v) Linear high-density polyethylene (LHDPE) [3901]

      47.

      264

      All goods other than poly 'so-butylene [39021

      48.

      266

      All goods [3903]

      49.

      274

      Compostable polymer or bio-plastic used in the manufacture of bio degradable agro mulching films, nursery plantation pots and flower pots [3913 90 90]

      50.

      275

      Water blocking tape for use in the manufacture of insulated Wires and cables falling under heading 8544 (except sub-heading 8544 11) [3919 90 90]

      51.

      278

      Subbed polyester base, imported by M/s. Hindustan Photo Films Manufacturing Company Limited, Udhagamandalam for the manufacture of medical or industrial X-ray films and graphic art films [39201

      52.

      286

      Patent leather [4114 20 10]

      53.

      287

      Raw furskins [4301). tanned and dried furskins [4302]

      54.

      386

      Lead bars. rods. profiles and wire [7806]

      55.

      388

      Zinc tubes, pipes and tube or pipe fittings [7907]

      56.

      389

      Tin plates, sheets and strip, of a thickness exceeding 0.2 mm; tin foil (whether or not printed or backed with paper, paperboard, plastics or similar backing materials), of a thickness (excluding any backing) not exceeding 0.2 mm; tin powders and flakes [8007]

      57.

      398

      Parts and components of the goods specified in List 10 required for use in high voltage power transmission project (Any chapter]

      58.

      401

      All items of equipment including machinery and rolling stock, procured by or on behalf of Delhi Metro Rail Corporation Ltd. for use in-

      (i) Delhi MRTS Project Phase-I, and

      (ii) Specified corridors of Delhi MRTS Project Phase-Il, comprising of the following, namely: -

      (a) Vishwavidyalaya- Jahangirpuri;

      (b) Central Secretariat-Qutab Minar (via All India Institute of Medical Sciences);

      (c) Shahdara- Dilshad Garden;

      (d) Indraprastha-New Ashok Nagar;

      (e) Yamuna Bank-Anand Vihar-lnter State Bus Terminus; and

      (f) Kirti Nagar-Mundka (along with operational Link to Shahdara- Rithala corridor) (Any Chapter)

      59.

      412

      Goods specified in List 15 required for construction of roads [84 or any other chapter]

      60.

      447

      The following goods required for manufacture of Optical disk drives (ODD), namely: -

      (i) Pick up assembly

      (ii) Digital signature procession integrated circuit

      (iii) DC motor

      (iv) LDO voltage regulator [84 or Any other Chapter]

      61.

      456

      The following goods, namely: -

      (a) Sprinklers and drip irrigation systems for agricultural and horticultural purposes;

      (b) Micro Irrigation equipment [8424]

      62.

      457

      Poultry incubators and brooders [8436 21 00]

      63.

      459

      Parts for manufacture of printers falling under sub heading 8443 32 (except 8443 99 51, 8443 99 52, 8443 99 53) [8443]

      64.

      465

      CD -Writers (8471]

      65.

      474

      MP3 or MP4 or MPEG 4 player with or without radio or video reception facility [85]

      66.

      483

      One set of pre-recorded cassettes accompanying books for learning languages and essential complement to such books, [85]

      67.

      484

      Audio cassettes, if recorded with material from books, newspaper or magazines, for the blind [85]

      68.

      515

      Colour television picture tubes for use in the manufacture of cathode ray televisions [8540 11]

       

       


      Full Text:

      Budget 2020-21 + FINANCE BILL, 2020

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      ActsIncome Tax