INCOME TAX

INSTRUCTION NO. 4/2004

Dated: May 20, 2004

Subject: Streamlining of the procedure relating to the submission of SLP proposals to the Board - Regarding.

The Board has noted with serious concern that despite the issue of specific and detailed instructions on the subject, the SLP proposals from the field formations are not only received generally after the expiry of the specified period of time (45 days) but are also found to be deficient in many respects. For instance, the SLP proposals are often received without verifying whether all documents i.e. assessment order, order of the CIT(Appeals), ITAT order, certified copy of High Court's order are duly annexed or not, leading to avaoidable correspondence in the matter. It has also been observed that the full and complete information is not furnished in the Proforma 'B' which is to be submitted along with SLP proposal are often received without verifying whether all documents i.e. assessment order, order of the CIT (Appeals), ITAT order, certified copy of High Court's order are duly annexed or not, leading to avoidable correspondence in the matter. It has also been observed that the full and complete information is not furnished in the Proforma 'B' which is to be submitted along with SLP proposal. It is needles to emphasise that such a situation is totally unsatisfactory and calls for immediate improvement.

2. The Board hereby directs that SLP proposals should henceforth be forwarded to the Board within 30 days from the date of the High Court judgment (excluding time taken by the Court to issue the certified copy of the order), duly adhering to proforma B format with checklist duly certified and supported by all annexures/material relevant thereto. The reduction in the time for the submission of SLP proposals to the Board shall be in supercession of Instruction No.2/2002 dated 6.2.2002 on this subject and with immediate effect.

3. It should be strictly ensured that all the columns provided in proforma B issued vide Instruction No. 2 dated 6.2.2002 are filled in completely and correctly. In particular, the complete information about the day-to-day movement of the High Court's order from the date of its receipt in the Income-tax Office till the date of despatch of the same to the Board, should invariably be provided in the relevant columns of the proforma B.

4. In order to adhere to the time limit of 30 days, the Board hereby directs that the certified copy of the High Court order should be submitted by the Standing Counsel within seven days (excluding the time taken by the Court to issue the certified copy of the order) from the date of judgment invariably accompanied with the opinion on feasibility or otherwise of filing SLP, without waiting for the letter of CCIT/CIT in this regard. This stipulation should be brought to the knowledge of all Standing Counsels. This shall be in supercession of Instruction No. 1986, on this limited aspect alone.

5. The Board further directs that full and complete information about the status of filing SLP or otherwise in respect of the judgment relied upon by from the High Court while deciding the case against the Department, should also be furnished in the relevant columns of proforma B, after ascertaining the same from the respective zonal CIT(J)/CCIT concerned, in column 10(a), (b), (c) & (d).

6. As of now, no consistency is seen in the manner of forwarding of copy of SLP filed by assessee along with parawise comments of AO on the contentions raised by the assessee therein. The Board hereby directs that henceforth:

a) When the SLP of the assessee is received by Assistant Govt Advocate/Central Agency section, the AGA shall inform the Supreme Court Cell. Thereafter, the SC Cell shall forward xerox copies of the SLP, both to the Board and to the CCIT concerned, so as to enable the CCIT to forward parawise comments, both to the Board as also to CAS within seven days thereof.

b) In case the SLP is received by the Board, the board shall inform the CCIT concerned, and thereafter the CCIT shall procure a copy of the same (SLP) from the assessee and forward parawise comments thereon within seven days, both to Board as also to AGA along with the xerox copy of SLP to AGA, in order to enable the Central Agency Section (CAS) to prepare the Counter Affidavit.

(c) When the SLP is received by the field formation, one copy each of SLP shall be forwarded to the Assistant Government Advocate (AGA) as also to the Board duly accompanied with the parawise comments on the contentions raised in the SLP, within seven days of receipt of SLP from the assessee by the CCIT.

(d) In case of preparation of rejoinder affidavit, the CCIT/CIT shall forward the parawise comments on the counter affidavit of assessee, both to AGA and to the Board within seven days of the receipt of the same from the Supreme Court cell, in order to enable the AGA/CAS to prepare the rejoinder affidavit. In case the same is requested for by the CAS to be sent immediately, the same shall be complied with as per letter of Supreme Court Cell.

7. Further, service of "dasti" should invariably be accompanied with a supporting affidavit, apart from acknowledgment of service, to be forwarded to the AGA, SC Cell under intimation to Board.

8. Board desires strict compliance of these Instructions. Any non-compliance shall be viewed seriously.

F.No. 279/Misc/12/2004-ITJ

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(Yagyasaini Kakkar)
Deputy Secretary to Govt. of India