Notice or intimation from the department is always stressful for the assessee and many of us have faced the same problem. Although, it is a very common thing and there is no need to panic. In this article, we will discuss the most useful options available to you to deal with the income tax notices.
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If you have received the notice from the income tax department, then you can have the following options:
- Rectification 154: File a letter to your assessing officer, requesting him to pass the rectification order under section 154. This option is useful when you see any mistake apparent from your return like an arithmetical mistake.
- Revision under section 264: The aggrieved assessee can file a letter to the commissioner of Income-tax for revision under section 264. Under the revision, you can file within 1 year from the date of communication of the order of assessing officer. Although, if the revision order has been passed against the assessee then he cannot file a further appeal to ITAT or any other superior authority.
- Appeal to CIT (A): This is the option that has been used by most of the assessee. Section 246A of the income tax act, 1961 has defined the order against which an appeal can be filed to the commissioner of income tax (Appeals). Remember, the assessee can take one of the options to respond to the notice of the department I,e, either file the revision petition or file an appeal under section 246A of Income Tax Act, 1961.
In this article, we will discuss most of the doubts that assessee has faced whiling the appeal to CIT(A). You can refer to our previous articles in which we have defined the orders under which an appeal can be made to CIT(A). Now let’s discuss some of the famous FAQs regarding the appeal.
Q.1 Whether an appeal can be filed against the intimation under section 143(1)
Yes, an assessee can file the appeal against the intimation under section 143(1). Section 143(1) has specified that if the person is not satisfied with the intimation then he can request to his assessing officer to pass the order under section 154 or file an appeal to CIT (A). However, he cannot make a revision petition to the commissioner of income tax because revision can be made only against the orders and not on the intimation.
Q.2 What is the time limit for filing an appeal to CIT (A)
Assessee can file the appeal within the period of 30 days from the date of communication of the order of assessing officer. Although, the limit of 30 days can be further extended if there is a reasonable cause for not filing it within time.
Q.3 Whether an appeal can be filed to CIT (A)
No, Not all orders. Only those orders can be filed to the CIT (A) which are mentioned in the list as specified under section 246A of the income tax act, 1961. For example, where the order under section 143(3) or 147 or 153 has been passed by the assessing officer on the directions of DRP, then any aggrieved party from such order cannot file the appeal to CIT(A). They may file to income tax appellate authority.
Q.4 How much pre-deposit amount is required for filing the appeal
The fees prescribed for filing the appeal is very low, as in any case, it won’t exceed Rs.1000. The details are as follows:
| Total Income of the assessee as determined by the assessing officer | Fees Amount |
| Up to Rs.1 Lakhs | 250 |
| More than Rs1 Lakhs but up to Rs.2 Lakh | 500 |
| More than Rs.2 Lakhs | 1000 |
Q.5 What is the form used for filing the appeal
Form No.35 is used for filing the appeal. This form can be filed electronically or otherwise.
Q.6 What is the procedure for filing the appeal electronically
The procedure for filing an online appeal is as follows:
- Go to the income tax official website at https://www.incometaxindiaefiling.gov.in/home and log in to your account
- GO to the E file link and click on the income tax forms
- Now choose from 35. Some of the details in the form are prefilled and the rest of the information, you have to fill manually.
- Enter the details of the order against which you want to file the appeal
- Mentioned the details of the ITR.
- Now enter the grounds of appeal, statement of facts and any other additional evidence or information like any relevant judgment of the court or otherwise. This is the most important part of the appeal. Each point in the grounds of appeal and statement of fact should be explained properly.
- If you are filing the appeal after 30 days, then also mention the reason for such delay. Remember, these reasons should be genuine otherwise your appeal application shall be rejected by the CIT (A).
- Pay the prescribed fees and addresses for which further communication can be made.
- At last, submit the form after which you will receive an acknowledgment form.
Q.7 What if any during the proceeding with CIT (A), any other ground of appeal has been found
If you got any other ground of appeal which is not mentioned in your original ground of appeal, the CIT (A) will not admit any additional ground of appeal. That’s why, while filing the Form 35, you should be very careful. Although there is some exception under which CIT(A) may admit the additional grounds which are as follows:
- When the Assessing officer has refused to admit the additional evidence.
- Where the appellant could not produce the relevant evidence due to sufficient cause.
- Where the Assessing Officer has passed the order without giving an opportunity of being heard.
I hope this article will help you to resolve most of the queries related to the filing of an appeal to CIT (A).
Why Section 264 is not widely used by the practitioner ? Order U/s 264 cannot be prejudicial to the assessee. Does it mean Commissioner is bound to give order in favour of Assessee ?