Commissioner Of Income Tax vs Bindal Apparels
2007 Latest Caselaw 1558 Del

ORDER

1. The Revenue is aggrieved by an order dt. 21st March, 2006 passed by the Tribunal, Delhi Bench 'F' in ITA No. 507/Del/2003 relevant for the asst. yr. 1999-2000.

2. After hearing learned Counsel for the parties, the following substantial question of law was framed on 17th Oct., 2006:

(i) Whether Tribunal was justified in law in holding that in view of absence of the IT authority i.e. 'Addl. CIT in the definition contained in Section 2(7A) of the Act, an Addl. CIT cannot be an authority to exercise or perform all or any of the powers and functions of an AO to make an assessment of income and thereby quashing the assessment made by the Addl. CIT?

3. It is brought to our notice that Section 2(7A) of the IT Act, 1961 has been amended with retrospective effect from 1st June, 1994 by Finance Act, 2007.

4. In view of this amendment, learned Counsel for the parties submit that the question is required to be answered in the negative in favor of the Revenue and against the assessed. The result of this amendment would necessitate the matter being heard afresh by the Tribunal since it has not dealt with merits of the case.

The appeal is disposed of. Parties will appear before the Tribunal on 18th Sept., 2007 for directions.

CM No. 12922 of 2006 (stay)

No orders are required to be passed as the appeal is disposed of. CM stands disposed of accordingly.