CIT, Meerut Vs The District Excise Office (Allahabad High Court) – Right to file an appeal is statutory right. Unless a right of appeal is provided for specifically, no appeal can be filed. It is also equally true that while interpreting the provision dealing with the right of appeal, it should be interpreted liberally in such a manner to advance cause of justice. Take the case as it is herein, the assessee is State Government employee being the District Excise Officer.
In discharge of his official duty he collected the tax at source, though according to the Income Tax Department there is a shortfall. Heavy demand running into crores has been raised. In such a situation it does not appeal to reason to deny such a person even a right of appeal. In Suran Mall Mohta & Co. Vs. A.V. Viswanatha Sastri, (1954) 26 ITR 1 the Apex Court has held absence of a provision for appeal in taxing statute may be a vitiating factor. The same principle has been reiterated in Kunnathat Thathunni Moopil Nair Vs. State of Kerala, AIR 1961 SC 552. It is equally true that absence of corrective machinery by way of appeal or revision, per se will not make a provision invalid. It will depend upon the scheme of the Act, the nature of powers vested in the authority, the effect and consequence of the order passed under the Act on the person concerned.
The argument of the learned senior standing counsel that Section 206C does not find place in any of its clauses of sub section (1) and therefore, the appeal is not maintainable ignores the clause referred to above in Sections 246 and/or 246A of the Act. The clause referred to above does not relate to any particular section of the Act. It will be attracted subject to fulfillment of its ingredients. It is in the nature of a residuary clause and gives a right to an assessee to challenge an order by way of appeal if he is so aggrieved subject to the condition that he denies his liability to be assessed under the Act.
HIGH COURT OF JUDICATURE AT ALLAHABAD
1. Case :- INCOME TAX APPEAL No. – 299 of 2000
