Law:

Section:

Section 246 of the Income-tax Act, 1961 - Commissioner (Appeals) - Appealable orders - Assessment year 1971-72 - Whether an order refusing registration/continuation of registration by ITO on ground of delay of filing of Form No. 12 under section 184(7) is an appealable order and AAC is competent to entertain such an appeal under section 246(j) - Held, yes FACTS The assessee made delay in filing declaration in Form No. 12 for continuation of registration for the relevant assessment year. The ITO did not condone the delay in filing the declaration and refused continuation of registration. The AAC, dismissed the assessee's appeal on the ground that it was not maintainable. In further appeal, the Tribunal held in favour of the assessee that the order of the ITO was appealable under section 246(j). On reference : HELD A reading of second proviso to section 184(7) will go to show that a firm has to file a declaration within time for getting the benefit of continuation of registration. If there is delay in filing the declaration within time, the ITO can condone it and allow the firm to furnish the declaration at any time before the assessment is made. The power given to the ITO to permit a firm to furnish a declaration after the expiry of the time, but before assessment, in case sufficient cause is shown, implies that the ITO has power to refuse to condone the delay or to accept the declaration. In case the ITO decides not to condone the delay, he has to declare that the registration granted to the firm shall not have effect for the relevant assessment year but such an order can be passed only under section 185(3). This provision applies when the declaration furnished by a firm in pursuance of section 184(7) is not in order. The defects which may make a declaration "not in order" may be of two kinds; rectifiable and non-rectifiable. In case of the former, the ITO has to give opportunity to the firm to rectify the defect and continuation of registration can be refused only when the defect is not rectified. But in the case of a non-rectifiable defect, which makes a declaration not in order, the ITO cannot ask the firm to rectify the defect and he can straightaway refuse…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492