Mumbai: Central Board of Direct Taxes (cbdt) on Monday notified the e-Appeals Scheme, 2023 which will speed up the hearing of appeals in IT matters. The Finance Bill in February proposed a new authority to hear appeals: the Joint Commissioner of Income Tax (Appeals) or JCIT(A). As stated in the Explanatory Memorandum, there was a need to remove the backlog of cases pending at the level of Commissioner of Income Tax (Appeals) or CIT(A).
“The newly introduced section 246 specifies that appeals against orders passed by an IT officer not below the rank of Joint Commissioner shall lie before the JCIT(A). One hopes that the speed of disposal of appeals, which has been increasing for the last five years The lowering becomes faster, while the quality of disposal also remains at a good level.” Gautam NayakTax Partner at CNK & Associates.
The budget proposals had said that the JCIT(A) would hear appeals in cases where the disputed demand was ‘small’. Thus, it was expected that with the speedy disposal of appeals, many individual taxpayers would be benefited.
Appeal before JCIT or Appellate Commissioner is the first level of appeal that can be filed by the taxpayer or the tax department. The litigation may then go to the Income Tax Appellate Tribunal (ITAT), which is the final fact-finding authority. In the next stage, the courts can hear only those cases which involve a question of law.
Ketan VajaniA chartered accountant said there are significant differences between the Faceless Appeal Scheme, 2021, which includes appeals cit (a) and the newly notified e-Appeal Scheme, 2023 for appeals before JCIT(a).
“Under the Faceless Appeal Scheme, all communication between the Appellate Commissioner and the taxpayer is through the National Faceless Appeal Center (NFAC). Under the e-Appeal Scheme, the communication between the JCIT(A) and the taxpayer is through the portal . , but it is directly as NFC Not included. This will speed up the flow of communication and should reduce the time gap in disposal of appeals,” Vajani said.
He added that once the appeal is allotted to a particular JCIT(A), the final order will be passed by the same authority. However, the Principal or Chief Commissioner has the power to transfer the case from one JCIT(A) to another.
“The newly introduced section 246 specifies that appeals against orders passed by an IT officer not below the rank of Joint Commissioner shall lie before the JCIT(A). One hopes that the speed of disposal of appeals, which has been increasing for the last five years The lowering becomes faster, while the quality of disposal also remains at a good level.” Gautam NayakTax Partner at CNK & Associates.
The budget proposals had said that the JCIT(A) would hear appeals in cases where the disputed demand was ‘small’. Thus, it was expected that with the speedy disposal of appeals, many individual taxpayers would be benefited.
Appeal before JCIT or Appellate Commissioner is the first level of appeal that can be filed by the taxpayer or the tax department. The litigation may then go to the Income Tax Appellate Tribunal (ITAT), which is the final fact-finding authority. In the next stage, the courts can hear only those cases which involve a question of law.
Ketan VajaniA chartered accountant said there are significant differences between the Faceless Appeal Scheme, 2021, which includes appeals cit (a) and the newly notified e-Appeal Scheme, 2023 for appeals before JCIT(a).
“Under the Faceless Appeal Scheme, all communication between the Appellate Commissioner and the taxpayer is through the National Faceless Appeal Center (NFAC). Under the e-Appeal Scheme, the communication between the JCIT(A) and the taxpayer is through the portal . , but it is directly as NFC Not included. This will speed up the flow of communication and should reduce the time gap in disposal of appeals,” Vajani said.
He added that once the appeal is allotted to a particular JCIT(A), the final order will be passed by the same authority. However, the Principal or Chief Commissioner has the power to transfer the case from one JCIT(A) to another.