Section 246:
Appealable orders.
1, 2 (1) Subject to the provisions of sub-section (2), any assessee aggrieved by
any of the following orders of an Assessing Officer (other than the Deputy Commissioner) may appeal to
the Deputy Commissioner (Appeals) 3
before the 1st day of June, 2000 against such order—
(a) an order against the assessee, where the assessee denies his liability to be assessed under this
Act 4
or an intimation under sub-section (1) or sub-section (1B) of section 143, where the assessee
objects to the making of adjustments, or any order of assessment under sub-section (3) of
section 143 or section 144, where the assessee objects to the amount of income assessed, or to the
amount of tax determined, or to the amount of loss computed, or to the status under which he is
assessed;
(b) an order of assessment, reassessment or recomputation under section 147 or section 150;
(c) an order under section 154 or section 155 having the effect of enhancing the assessment or
reducing a refund or an order refusing to allow the claim made by the assessee under either of the said
sections;
(d) an order made under section 163 treating the assessee as the agent of a non-resident;
(e) an order under sub-section (2) or sub-section (3) of section 170;
(f) an order under section 171;
(g) any order under clause (b) of sub-section (1) or under sub-section (2) or sub-section (3) or
sub-section (5) of section 185 5
*** 6
in respect of any assessment for the assessment year
commencing on or before the 1st day of April, 1992;
(h) an order cancelling the registration of a firm under sub-section (1) or under sub-section (2)
of section 186 5
*** 6
in respect of any assessment for the assessment year commencing on or before
the 1st day of April, 1992;
(i) an order under section 201;
(j) an order under section 216 in respect of any assessment for the assessment year commencing
on the 1st day of April, 1988 or any earlier assessment year;
(k) an order under section 237;
(l) an order imposing a penalty under—
(i) section 221, or
(ii) section 271, section 271A, section 271B, 7
*** section 272A, section 272AA or
section 272BB;
(iii) 8
*** section 272, section 272B or section 273, as they stood immediately before the 1st
day of April, 1989, in respect of any assessment for the assessment year commencing on the 1st
day of April, 1988 or any earlier assessment years.
9
(1A) Notwithstanding anything contained in sub-section (1), every appeal filed, on or after the 1st
day of October, 1998 but before the 1st day of June, 2000, before the Deputy Commissioner (Appeals)
and any matter arising out of or connected with such appeal and which is so pending shall stand
transferred to the Commissioner (Appeals) and the Commissioner (Appeals) may proceed with such
appeal or matter from the stage at which it was on that day.
(2) Notwithstanding anything contained in sub-section (1), any assessee aggrieved by any of the
following orders (whether made before or after the appointed day) may appeal to the Commissioner
(Appeals) 9
before the 1st day of June, 2000 against such order—
(a) 10
an intimation or order specified in sub-section (1) where such intimation is sent or such
order is made by the Deputy Commissioner in exercise of the powers or functions conferred on or
assigned to him under section 120 or section 124;
(b) an order specified in clauses (a) to (e) (both inclusive) and clauses (i) to (l) (both inclusive) of
sub-section (1) 11
or an order under section 104, as it stood immediately before the 1st day of April,
1988 in respect of any assessment for the assessment year commencing on the 1st day of April, 1987
or any earlier assessment year made against the assessee, being a company;
(c) an order of assessment made after the 30th day of September, 1984, on the basis of the
directions issued by the Deputy Commissioner under section 144A;
(d) an order made by the Deputy Commissioner under section 154;
12
(da) an order of assessment made by an Assessing Officer under clause (c) of section 158BC, in
respect of search initiated under section 132 or books of account, other documents or any assets
requisitioned under section 132A, on or after the 1st day of January, 1997;
(db) an order imposing a penalty under sub-section (2) of section 158BFA;
(e) an order imposing a penalty under section 271B 13
or section 271BB;
14
(ee) an order made by a Deputy Commissioner imposing a penalty under section 271C,
section 271D or section 271E;
(f) an order made by a Deputy Commissioner or a Deputy Director imposing a penalty
under section 272A;
15
(ff) an order made by a Deputy Commissioner imposing a penalty under section 272AA;
16
(g) an order imposing a penalty under Chapter XXI by the Income-tax Officer or the Assistant
Commissioner where such penalty has been imposed with the previous approval of the Deputy
Commissioner under sub-section (2) of section 274;
(h) an order made by an Assessing Officer (other than Deputy Commissioner) under the
provisions of this Act in the case of such person or classes of persons as the Board may, having
regard to the nature of the cases, the complexities involved and other relevant considerations, direct.
(3) Notwithstanding anything contained in sub-section (1), the Board or the 17
Principal Director
General or Director General, or the 18
Principal Chief Commissioner or Chief Commissioner or
19
Principal Commissioner or Commissioner if so authorised by the Board, may, by order in writing,
transfer any appeal which is pending before a Deputy Commissioner (Appeals) and any matter arising out
of or connected with such appeal and which is so pending, to the Commissioner (Appeals) if the Board or,
as the case may be, the 17
Principal Director General or Director General or 18
Principal Chief
Commissioner or Chief Commissioner or 19
Principal Commissioner or Commissioner (at the request of
the appellant or otherwise) is satisfied that it is necessary or expedient so to do having regard to the nature
of the case, the complexities involved and other relevant considerations and the Commissioner (Appeals)
may proceed with such appeal or matter, from the stage at which it was before it was so transferred:
Provided that the appellant may demand that before proceeding further with the appeal or matter, the
previous proceeding or any part thereof be re-opened or that he be reheard.
Explanation.—For the purposes of this section,—
(a) “appointed day” means the 10th day of July, 1978, being the day appointed under
section 39 of the Finance (No. 2) Act, 1977 (29 of 1977);
(b) “status” means the category under which the assessee is assessed as “individual”, “Hindu
undivided family” and so on.
Notes:
1. Subs. by Act 4 of 1988, s. 99, for the Sub-heading and section 246 (w.e.f. 1-4-1989).
2. The words “or applications” omitted by Act 3 of 1989, s. 42 (w.e.f. 1-4-1989).
3. Ins. by Act 10 of 2000, s. 65 (w.e.f. 1-6-2000).
4. Ins. by Act 32 of 1994, s. 46 (w.e.f. 1-6-1994).
5. The words, figures and letters “in respect of any assessment for the assessment year commencing on the 1st day of April,
1988 or any earlier assessment year” omitted by Act 3 of 1989, s. 43 (w.e.f. 1-4-1989).
6. Ins. by Act 18 of 1992, s. 83 (w.e.f. 1-4-1993).
7. The words, figures and letters “section 271C, section 271D, section 271E,”omitted by Act 12 of 1990, s. 41 (w.e.f. 1-4-
1990). Earlier “Section 271E, Section 272A, Section 272AA or Section 272BB” were substituted for “Section 271E or
Section 272A” by Act 3 of 1989, s. 43 (w.e.f. 1-4-1989).
8. The words, brackets and figures “sub-section (1) of section 271,” omitted by Act 3 of 1989, s. 43 (w.e.f. 1-4-1989).
9 Ins. by Act 10 of 2000, s. 65 (w.e.f. 1-6-2000).
10. Subs. by Act 32 of 1994, s. 46, for “an order specified in sub-section (1) where such order” (w.e.f. 1-6-1994).
11. Ins. by Act 3 of 1989, s. 43 (w.e.f. 1-4-1989).
12. Ins. by Act 14 of 1997, s. 8 (w.e.f. 1-1-1997).
13. Ins. by Act 12 of 1990, s. 50 (w.e.f. 1-4-1990).
14. Ins. by s. 41, ibid. (w.e.f. 1-4-1990).
15. Ins. by Act 3 of 1989, s. 43 (w.e.f. 1-4-1989).
16. Subs. by s. 43, ibid., for clause (g) (w.e.f. 1-4-1989).
17. Subs. by Act 25 of 2014, s. 4, for “Director General” (w.e.f. 1-6-2013).
18 Subs. by s. 4, ibid., for “Chief Commissioner” (w.e.f. 1-6-2013).
19. Subs. by s. 4, ibid., for “Commissioner” (w.e.f. 1-6-2013).