1. DEPARTMENTAL APPEALS
By,
Shankar Bose
Inspector of Income-tax
MSTU, Puri
APPEAL BEFORE THE LD. CIT(APPEALS)

2. FORM NO. 35
[ See rule 45 ]
Appeal to the Commissioner of Income-tax (Appeals)
Designation of the Commissioner (Appeals)
No…………… of ……………
Name and address of the appellant
Permanent Account Number
Assessment year in connection with which the appeal is
preferred
Assessing Officer/Valuation Officer passing the order appeal
against
Section and sub-section of the income-tax act, 1961, under
which the Assessing Officer/Valuation Officer passed the order
appealed against and the date of such order

3. Where the appeal relates to any tax deducted under section
195(1), the date of payment of the tax
Where the appeal relates to any assessment or penalty, the date
of service of the relevant notice of demand
In any other case, the date of service of the intimation of the order
appealed against
Section and clause of the Income-tax Act, 1961, under which the
appeal is preferred
Where return has been filed by the appellant for the assessment
year in connection with which the appeal is preferred, whether the
tax due on the income returned has been paid in full ( if the
answer is in affirmative, give details of date of payment and
amount paid )
Where no return has been filed by the appellant for the
assessment year in connection with which the appeal is preferred,
whether an amount equal to the amount of advance tax payable
by his during the financial year immediately preceding such
assessment year has been paid ( if the answer is in affirmative,
give details of date of payment and amount paid )

4. Relief claimed in appeal
Whether an appeal in relation to any other assessment year is
pending in the case of the appellant with any Commissioner
(Appeals), give details as to the -
(a) Commissioner (Appeals) with whom the appeal is pending
(b) Assessment year in connection with which the appeal has
been preferred
(c) Assessing Officer passing the order appealed against
(d) Section and sub-section of the Act, under which the Assessing
Officer passed the order appealed against and the date of
such order
Address to which notices may be sent to the appellant
____________________
Signed
( Appellant)

5. STATEMENT OF FACTS
GROUNDS OF APPEAL
____________________
Signed
( Appellant)
Form of verification
I, ___________________, the appellant, do hereby declare that what is stated above is
true to the best of my information and belief.
Place Signature
Date : Status of appellant

6. APPEAL BEFORE APPELLATE TRIBUNAL

7. SCRUTINY REPORT
1. Name of the assessee
2. No. of appeal before CIT(A) and the date of appellate order
3. Date of receipt of the appellate order by the Assessing Officer
4. Assessment Year
5. Extent of reduction of tax liability
6. Whether notice of hearing of appeal ( including notice of
adjournment was receipt by the assessing officer
7. Whether additional materials, evidences or information or
documents were admitted or entertained by the Appellate
authority
8. If additional materials, evidences or information or documents
were admitted or entertained, the Assessing Officer’s
comments on their admission by the appellate authority
including particulars or opportunity given to the Assessing
Officer to lead arguments or evidence in rebuttal

8. 9. Points allowed in appeal by the appellate authority to be
mentioned serially and briefly
10. Assessing Officers Comments with reference to each
points specified in item 9
( Assessing Officer )
11. Joint Commissioner of Income-tax’s comments
( Joint CIT )

9. SCRUTINY REPORT
1. Name of the assessee T & I Engineers (P) Ltd
2. No. of appeal before CIT(A) and the date of appellate order Tez-39/06-07 Dt.
26/03/2007
3. Date of receipt of the appellate order by the Assessing 23/04/2007
Officer
4. Assessment Year 2004-05
5. Extent of reduction of tax liability Rs. 16,60,175/-
6. Whether notice of hearing of appeal ( including notice of No
adjournment was receipt by the assessing officer
7. Whether additional materials, evidences or information or No
documents were admitted or entertained by the Appellate
authority
8. If additional materials, evidences or information or Not applicable
documents were admitted or entertained, the Assessing
Officer’s comments on their admission by the appellate
authority including particulars or opportunity given to the
Assessing Officer to lead arguments or evidence in rebuttal

10. 9. Points allowed in appeal by the appellate authority to be The Ld. CIT(A) has
mentioned serially and briefly directed to allow
deduction u/s 80IC
claimed by the assessee
as against disallowance
made by the Assessing
Officer
10. Assessing Officers Comments with reference to each As per separate sheet
points specified in item 9
( Assessing Officer )
11. Joint Commissioner of Income-tax’s comments
( Joint CIT )

11. 10. ASSESSING OFFICER’S COMMENTS :
In this case the assessee filed its return of income on 27/10/2007 together with
Audit Report u/s 44AB and Form No. 29B. In his return of Income, the assessee claimed a
deduction of Rs. 44,47,396/- u/s 80IC of the I.T. Act, 1961, but audit report in Form
10CCB as required u/s 80-IA(7) read with section 80-IC(7) was not accompanied along
with the return of income. The audit report in Form 10CCB was filed only on 21/08/2006.
Accordingly, the A.O. refused to give cognizance of the audit report filed after a long
period of filling return and entire amount of deduction claimed u/s 80-IC of the I.T. Act was
disallowed.
The Ld. CIT(A) observed that the requirement that audit report should be filed along
with the return as prescribed u/s 80-IC(7) read with section 80-IA(7) is not a mandatory
condition but only a directory. An audit report filed after submission of return but before
framing of assessment would thus constitute sufficient compliance to the requirements of
the section and directed to allow deduction u/s 80-IC.
The Ld. CIT(A) appears to be not correct in allowing the deduction since the sub
section 7 of section 80-IA clearly says that “ the deduction under sub-section 1 from profit
and gains derived from an undertaking shall not be admissible unless the accounts of the
undertaking for the previous year relevant to the assessment year for which the deduction
is claimed have been audited …………….. And the assessee furnishes, along with his
return of income, the report of such audit in the prescribed form duly signed and verified
by such accountant.”
From the above it is apparent that all assessee claiming deduction u/s 80-IC(1),
furnishing of audit report in Form No.10ccB along with return of income is mandatory.
In view of the above, second appeal is recommended.

12. 9. Points allowed in appeal by the appellate authority to be The Ld. CIT(A) has
mentioned serially and briefly directed to allow
deduction u/s 80IC
claimed by the assessee
as against disallowance
made by the Assessing
Officer
10. Assessing Officers Comments with reference to each As per separate sheet
points specified in item 9
( Assessing Officer )
11. Joint Commissioner of Income-tax’s comments
( Joint CIT )

13. FORM NO. 36
[ See rule 47(1) ]
Form of appeal to the Appellate Tribunal
In the Income-tax Appellate tribunal
………………………………………………….
Appeal No…………… of ……………
………………….. Versus ……………………
APPELLANT RESPONDENT
1. The State in which the assessment was made
2. Section under which the order appealed against was passed
3. Assessment year in connection with which the appeal is preferred
3A. Total income declared by the assessee for the assessment year
referred to in item 3
3B. Total income as computed by the Assessing Officer for the
assessment year referred to in item 3
4. The Assessing Officer passing the original order

14. 5. Section of the Income-tax Act, 1961, under which Assessing
Officer passed the order
6. The Deputy Commissioner (Appeals) in respect of orders passed
before the 1st day of October, 1998/ Commissioner (Appeals)
passing the order under section 154/250/271/271A/272A
7. The Deputy Commissioner or the Deputy Director in respect of
orders passed before the 1st day of October, 1998, or the Joint
Commissioner or the Joint Director passing the order under
section 154/272A/274(2)
8. The Chief Commissioner or Director General or Director or
Commissioner, passing the order under section
154(2)/250/263/271/271A/272A
9. Date of communication of the order appealed against
10. Address to which notices may be sent to the appellant
11. Address to which notices may be sent to the respondent
12. Relief claimed in appeal

15. GROUNDS OF APPEAL
1.
2.
3.
4.
…................................. ……………………….
Signed Signed
( Authorised representative, if any ) ( Appellant )
Verification
I, ___________________, the appellant, do hereby declare that what is stated above is
true to the best of my information and belief.
Verified today the …………………… day of …………….
…………….
Signed

16. Notes :
1. The memorandum of appeal must be in triplicate and should be accompanied
by two copies (at least one of which should be a certified copy) of the order
appealed against, two copies of the relevant order of the Assessing Officer, two
copies of the grounds of appeal before the first appellate authority, two copies
of statement of facts, if any, filed before the said appellate authority, and also –
(a) In the case of an appeal against an order levying penalty, two copies of the
relevant assessment order,
(b) In the case of an appeal against an order under section 143(3) read with
section 144A, two copies of the direction of the Joint Commissioner under
section 144A,
(c) In the case of an appeal against an order under section 143(3) read with
section 144B, two copies of the draft assessment order and two copies of the
directions of the Joint Commissioner under section 144A,
(d) In the case of an appeal against an order under section 143 read with section
147, two copies of the original assessment order, if any.

17. ACTION POINTS
1. Notes printed below the form are self explanatory and are required to be followed
while preparing an appeal to the tribunal
2. Every appeal to the Tribunal is to be filed within 60days of the date of communication
of the order to the assessee or the CCIT/CIT, as the case may be.
3. Jurisdiction of the Tribunal to which appeal may be filed is determined by an order
under rule 4 of the Income-tax ( appellate Tribunal ) Act, 1963.
4. Normally the appeal is required to be presented to the Asstt. Registrar or, in his
absence from office, to the Supeintendent/ Asstt Supeintendent/ Seniormost Head
Clerk in the office during the office hours.
5. Where an appeal or application or cross-objection is filed which is connected with an
appeal or application or cross-objection relating to the same party filed earlier,
reference hereto should be made in the later appeal or application or cross-objection
to facilitate their linking in the office of the Tribunal.
6. If an appeal or application or cross-objection is barred by time, an application for
condonation of the delay supported by an affidavit and other documentary evidence
for delay, should be made well in advance of the hearing.

18. FORM NO. 36
[ See rule 47(1) ]
Form of appeal to the Appellate Tribunal
In the Income-tax Appellate tribunal
………………………………………………….
Appeal No…………… of ……………
………………….. Versus ……………………
APPELLANT RESPONDENT
1. The State in which the assessment was made Assam
2. Section under which the order appealed against was U/s 250
passed
3. Assessment year in connection with which the appeal is 2004-05
preferred
3A. Total income declared by the assessee for the Nil
assessment year referred to in item 3
3B. Total income as computed by the Assessing Officer for Rs. 45,98,560/-
the assessment year referred to in item 3
4. The Assessing Officer passing the original order ACIT, Cir-Tezpur

19. 5. Section of the Income-tax Act, 1961, under which U/s 143(3)/115JB
Assessing Officer passed the order
6. The Deputy Commissioner (Appeals) in respect of Not applicable
orders passed before the 1st day of October, 1998/
Commissioner (Appeals) passing the order under
section 154/250/271/271A/272A
7. The Deputy Commissioner or the Deputy Director in Not applicable
respect of orders passed before the 1st day of October,
1998, or the Joint Commissioner or the Joint Director
passing the order under section 154/272A/274(2)
8. The Chief Commissioner or Director General or Director CIT(A-1), Ghy
or Commissioner, passing the order under section
154(2)/250/263/271/271A/272A
9. Date of communication of the order appealed against 23/04/2007
10. Address to which notices may be sent to the appellant ACIT, Cir-Tezpur, Aayakar
Bhawan, Tez.
11. Address to which notices may be sent to the Kedarmal Smriti Bhawan,
respondent Jenkins Rd. Tez.
12. Relief claimed in appeal As per grounds of appeal

20. GROUNDS OF APPEAL
1. As per separate sheet
2.
3.
4.
…................................. ……………………….
Signed Signed
( Authorised representative, if any ) ( Appellant )

21. Grounds of appeal
1. The Ld. CIT(A) has erred in law by observing that the audit report required to furnish
along with return if income as prescribed u/s 80-IC read with section 80-IA is not a
mandatory condition but only a directory. He is not justified in allowing deduction u/s 80-
IC.

22. GROUNDS OF APPEAL
1. As per separate sheet
2.
3.
4.
…................................. ……………………….
Signed Signed
( Authorised representative, if any ) ( Appellant )
Verification
I, ___________________, the appellant, do hereby declare that what is stated above is
true to the best of my information and belief.
Verified today the …………………… day of …………….
…………….
Signed

23. APPEAL BEFORE
HON’BLE HIGH COURT

24. 1. Appeal is preferred against the order of the ITAT
2. Appeal is be filed within 120 days from the receipt of the ITAT’s
order
3. For filling appeal before Hon’ble High Court, tax effect should
be more than Rs. 5 lakhs and there must be law point involved
4. CIT will decide whether appeallable or not ( before taking
decision, CIT calls proforma report from the A.O. and
comments from the Range JCIT)
5. If necessary, CIT may seek opinion of the Departmental
Standing Counsel
6. Proposal for filling appeal before Hon’ble High Court is sent to
the CCIT for his approval.

25. 7. On receipt of CCIT’s approval, CIT prepares the
following
appeal papers –
(a) Fact of the case
(b) Question of law
(c) CIT’s comments
(d) One authorisation letter authorising the A.O. to
represent the case
(e) Wakalatnama authorising the standing counsel to
represent the case
(f) Copy of Asstt. Order
(g) Copy of CIT(A)’s order
(h) ITAT’s order in original
8. The above papers along with wakalatnama is handed
over to
the Departmental Standing Counsel and he files the appeal
before the Hon’ble High Court.

26. APPEAL SCRUTINY REPORT
1 Jt / Addl CIT Range : Range – II / Kolkata
2 a) Appellate Range : C I T (A) – 8 ,
Kolkata
b) No of appellate order & Date : 8 / 2006-07 / 39 , Dt. 27.03.07
3 Ward/Circle : ACIT Cir – 4 ,
Kolkata
4 Assessee’s name & Address : Sanjay Jaiswal
5 PAN : AAACJ
5434 B
6 Status :
Individual
7 Assessment year : 2004 - 05+
8 Accounting year : 2003 - 04
9 Sources of income with details of Business / Dealer in Iron Pipes
Business, profession, vocation, if any: & Sanitary Fittings
10 Total income assessed : Rs. 47.94.060
11 Total demand raised : Rs. 20.03.697
12 Reduced income as per appeal order : Rs. 40.91.135
13 Revised demand as per appeal order : Rs. 16.95.161
14 Reduction in demand : Rs. 3.08.536
15 Whether tax has been fully paid : No
16 Whether appeal effect has been given: Yes
17 Whether necessary entries have been : Yes
made in R-IV in respect of item 15
above
18 Give the Sl No in R-IV in respect : Arr. +- 4 / 2005 - 06
of item No 17
19 Grounds on which reduction is based : As per Appellate Order
20 ITO’s Remark : As per separate
sheet
21 Information in respect of para-3 of CBDT’s instruction No 1979 dated 27.03.2000

27. Para-3, Adverse judgments relating to the following should be contested
irrespective of revenue effect.
i) Whether revenue audit objection in the case :
has been accepted by the Department. No
ii) Whether Board’s order, notification, instruction or :
circular is the subject matter of an adverse order No
iii) Whether prosecution proceedings are contemplated :
against the assessee.
No
iv) Whether the constitutional validity of the Act are :
under challenge. No
( NAME OF AO )
ITO / AC / DC , Ward/Circle….

28. Name :
PAN :
A.Y. Revised Total Income :
40.91.135 Date of Order :
Tax Liability
Order u/s 251 / 143 (3)
In pursuance of order of Ld. C.I.T.(A) – 8, Kolkata vide
Appeal Order no. ________ dt. ____ the order dt. _______
u/s 143(3) is revised as follows :-
Total Income as per Order u/s 143(3) dt. ________
: 47.94.060
Less : Relief given for
1. Rate of Gross Profit
: 1.16.387
2. Unexplained Cash Credit
: 5.41.538
THANKS