TAX PICKINGS (HOW TO READ ORDER OF ITAT, ITSC AND OTHER TAX AUTHORITIES)

 In appellate practice, whenever we draft appeals, petitions etc. it is utmost important to precisely ascertain the averments, the controversy/dispute and the findings of the Court/Tribunal so that a decipherable chain of reasoning can be formed on a particular point in dispute, making it easy for the appellate court to sift the record. 

As regards judgments of the Income Tax Appellate Tribunals, in the case of CIT v. Scindia Steam Navigation Co. Ltd., [1961] 42 ITR 589 (SC) the Constitution Bench of the Hon’ble Supreme Court of India summed up the principles as under (page 611 of 42 ITR) ;

      “39. The result of the above discussion may thus be summed up;

1)     (1) When a question is raised before the Tribunal and is dealt with by it,  it is clearly one arising out of its order.

2)    (2) When a question of law is raised before the Tribunal but the Tribunal fails to deal with it, it must be deemed to have been dealt with by it, and is therefore, one arising out of its order.

3)     (3) When a question is not raised before the Tribunal but the Tribunal deals with it, that will also be a question arising out of its order.

4)     (4) When a question of law is neither raised before the Tribunal nor considered by it, it will not be a question arising out of its order notwithstanding that it may arise on the findings given by it.”

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