CHAPTER XX

APPEALS AND REVISION

A. Appeals to the Appellate Assistant Commissioner ¹[and Commissioner (Appeals)]

Appealable orders.

246. ²[(1)] ^{* 1}[Subject to the provisions of sub-section (2),] any assessee aggrieved by any of the following orders of an Income-tax Officer may appeal to the Appellate Assistant Commissioner against such order—

¹[(a) an order against the assessee, being a company, under section 104 ;]

(b) an order imposing a fine under sub-section (2) of section 131 ;

(c) an order against the assessee, where the assessee denies his liability to be assessed under this Act or any order of assessment under sub-section (3) of section 143 or section 144, where the assessee objects to the amount of income assessed, or to the amount of tax determined, or to the amount of loss computed, or to the status under which he is assessed ;

(d) an order under section 146 refusing to re-open an assessment made under section 144 ;

(e) an order of assessment, reassessment or recomputation under section 147 or section 150 ;

(f) an order under section 154 or section 155 having the effect of enhancing the assessment or reducing a refund or an order refusing to allow the claim made by the assessee under either of the said sections ;

(g) an order made under section 163 treating the assessee as the agent of a non-resident ;

(h) an order under sub-section (2) or sub-section (3) of section 170 ;

(i) an order under section 171 ;

²[(j) an order under clause (b) of sub-section (1) or under sub-section (2) or sub-section (3) or sub-section (5) of section 185 ;]

(k) an order cancelling the registration of a firm under sub-section (1) or under sub-section (2) of section 186 ;

(l) an order under section 201 ;

(m) an order under section 216 ;

(n) an order under section 237 ;

(o) an order imposing a penalty under—

(i) section 140A, or

(ia) section 221, or

(ii) section 270, or

(iii) section 271, or

³[(iiia) section 271A, or]

(iv) section 272, or

³[(iva) section 272B, or]

(v) section 273.

¹[Explanation : "Status" means the category under which the assessee is assessed as "individual", "Hindu undivided family" and so on.]

⁴[(2) Notwithstanding anything contained in sub-section (1), any assessee aggrieved by any of the following orders (whether made before or after the appointed day) may appeal to the Commissioner (Appeals) against such order—

(a) an order against the assessee, being a company, under section 104 ;

(b) an order specified in clauses (c) to (o) (both inclusive) of sub-section (1) where such order is made by the Inspecting Assistant Commissioner in exercise of the powers or functions conferred on or assigned to him under section 125 or section 125A ;

(c) an order made by the Inspecting Assistant Commissioner imposing a fine under sub-section (2) of section 131 ;

(d) an order against the assessee, being a foreign company, where the assessee denies its liability to be assessed under this Act or any order of assessment under sub-section (3) of section 143 or section 144, and the assessee objects to the amount of income assessed or to the amount of tax determined or to the amount of loss computed or to the status under which it is assessed;

(e) an order against the assessee, being a domestic company, where the assessee denies its liability to be assessed under this Act or any order of assessment under sub-section (3) of section 143 or section 144, and the assessee objects to the amount of income assessed or to the amount of tax determined or to the amount of loss computed or to the status under which it is assessed, and the amount of income so assessed or the amount of Joss so computed exceeds five lakh rupees ;

(f) an order of assessment under sub-section (3) of section 143 or section 144 made on the basis of directions issued by the Inspecting Assistant Commissioner under section 144B ;

(g) an order imposing a penalty under clause (c) of sub-section (1) of section 271 where such penalty has been imposed with the previous approval of the Inspecting Assistant Commissioner under the proviso to clause (iii) of sub-section (1) of that section ;

(h) an order made by an Inspecting Assistant Commissioner imposing a penalty under section 272A ;

(i) an order made by an Income-tax Officer under the provisions of this Act in the case of such persons or classes of persons as the Board may, having regard to the nature of the cases, the complexities involved and other relevant considerations, direct.

(3) Every appeal against an order specified in sub-section (2) which is pending immediately before the appointed day before an Appellate Assistant Commissioner or a Commissioner and any matter arising out of or connected with such appeal and which is so pending shall stand transferred on that day to the Commissioner (Appeals) and the Commissioner (Appeals) may proceed with such appeal or matter from the stage at which it was on that day :

Provided that the appellant may demand that before proceeding further with the appeal or matter, the previous proceeding or any part thereof be reopened or that he be re-heard.

Explanation : For the purposes of this section,—

(a) "appointed day" means the date appointed under section 39 of the Finance (No. 2) Act, 1977 ;

(b) "domestic company" and "foreign company" shall have the same mean-ings as in section 80B ;

(c) "status" means the category under which the assessee is assessed as "individual, Hindu undivided family" and so on.]

[As Amended by the Finance (No. 2) Act, 1977]