251 Income Tax Act - Powers of the Commissioner (Appeals)

Section 251 of Income Tax Act 1961 - Powers of the Commissioner (Appeals)

(1) In disposing of an appeal, the 1 *** Commissioner (Appeals) shall have the following powers

(a) in an appeal against an order of assessment, he may confirm, reduce, enhance or annul the assessment2 ***; 3 (aa) in an appeal against the order of assessment in respect of which the proceeding before the Settlement Commission abates under section 245HA, he may, after taking into consideration all the material and other information produced by the assessee before, or the results of the inquiry held or evidence recorded by, the Settlement Commission, in the course of the proceeding before it and such other material as may be brought on his record, confirm, reduce, enhance or annul the assessment;

(b) in an appeal against an order imposing a penalty, he may confirm or cancel such order or vary it so as either to enhance or to reduce the penalty;

(2) The 1 *** Commissioner (Appeals) shall not enhance an assessment or a penalty or reduce the amount of refund unless the appellant has had a reasonable opportunity of showing cause against such enhancement or reduction.

Explanation. In disposing of an appeal, the 1 *** Commissioner (Appeals) may consider and decide any matter arising out of the proceedings in which the order appealed against was passed, notwithstanding that such matter was not raised before the 1 *** Commissioner (Appeals) by the appellant.
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1. The words and brackets Deputy Commissioner (Appeals) or, as the case may be, the omitted by Act 21 of 1998, s. 65 (w.e.f. 1-10-1998). Earlier Deputy Commissioner (Appeals) was substituted for Appellate Assistant Commissioner by Act 4 of 1988, s. 2 (w.e.f. 1-4-198) and the words and brackets or, as the case may be, the Commissioner (Appeals) were inserted by Act 29 of 1977, s. 39 and the Fifth Schedule (w.e.f. 10-7-1978).

2. The certain words omitted by Act 14 of 2001, s. 83 (w.e.f. 1-6-2001).

3. Ins. by Act 18 of 2008, s. 49 (w.e.f. 1-4-2008).