Legislative Provisions cannot be amended by CBDT in exercise of its Power U/s. 119 of Income Tax Act, 1961

Advocate Akhilesh Kumar Sah In CIT vs. S.V. Gopala Rao [Civil Appeal No(S). 4901/2010, decided on 13.07.17], the Central Board of Direct Taxes (CBDT) issued a Circular under Section 119 of the Income Tax Act, 1961 (herein referred to as ‘the Act’). In fact, it amended the provisions contained in Rule 68B of the IInd Schedule to the Act, which otherwise have statutory force. Honorable Supreme Court held that such legislative provisions cannot be amended by CBDT in exercise of its power under Section 119 of the Act. The High Court has, therefore, rightly held the circular ultra virus and q...