ITAT Slams CIT(A) for violation of Judicial Discipline by taking contradictory view on issue already confirmed on merit by it

ACIT Vs. M/s. Sutures India Pvt. Ltd. (ITAT Bangalore)

ITAT Slams CIT(A) for violation of Judicial Discipline by taking contradictory view on issue already confirmed on merit by it and CIT (Appeals) have no jurisdiction to take any decision on issue which is already been decided by CIT under Section 263.

In the case on hand when the issue of deduction under Section 80 IA was decided by the CIT under Section 263 then neither the Assessing Officer nor the CIT (Appeals) has any jurisdiction to take any decision or even to entertain the said issue. Deciding this issue by the CIT (Appeals) in the impugned order amounts to reversal of the findings of the CIT. Therefore the CIT (Appeals) has traveled beyond the jurisdiction of entertaining and adjudicating the issue which was decided in the order passed under Section 263 and consequently upheld by the Tribunal. Hence we are of the considered view that the CIT (Appeals) while passing the impugned order has traveled beyond its jurisdiction and therefore, it is not sustainable. Accordingly, we set aside the impugned order of the CIT (Appeals) and restore the order of the Assessing Officer.

We take a serious view of the conduct of the CIT (Appeals) which is clearly a judicial indiscipline as the issue on merits was already confirmed by the Tribunal vide order date 13.11.2009 and as such the CIT (Appeals) was not supposed to take a contradictory view on the same issue in assessee’s own case and that too in the proceedings arising in pursuant to the order under Section 263 of the Act. Thus it is clear case of violation of judicial discipline by the CIT (Appeals). A copy of this order may be sent to the CBDT for necessary action.