An appeal against an order of the Commissioner (Appeals) lies to the Income Tax Appellate Tribunal in Form 36, within sixty days of the date the order was communicated, under Section 253(3). The Tribunal is the final fact-finding authority in the income-tax hierarchy, which makes it the last forum at which the factual record can still be shaped.
Limitation and condonation
The sixty days run from communication of the order, not from its date. Section 253(5) empowers the Tribunal to admit a late appeal on sufficient cause, and there is no statutory outer limit — but the discretion is exercised on the quality of the explanation, and a delay left unexplained for part of the period will usually defeat the application even where the rest is well justified.
The fee, and where it stops rising
Section 253(6) fixes the fee by reference to assessed total income: Rs.500 where it is up to Rs.1,00,000, Rs.1,500 between Rs.1,00,001 and Rs.2,00,000, and above that one per cent of assessed total income subject to a ceiling of Rs.10,000. Because of the cap, the fee on a dispute of Rs.10 crore is the same as on one of Rs.10 lakh once assessed income passes Rs.10,00,000. A stay application carries a separate fee of Rs.500.
The cross-objection nobody files
Where the department appeals, the assessee may file a cross-objection in Form 36A under Section 253(4), within thirty days of receiving notice of the appeal. It carries no fee. It allows the assessee to attack the parts of the Commissioner's order decided against them, even though they did not themselves appeal in time.
Two features make it valuable out of proportion to how often it is used. It is treated as an appeal in its own right, so it survives even if the department later withdraws. And it costs nothing. The thirty-day period runs quietly while attention is on the department's appeal, which is precisely why the right so often lapses. Diarise it the day the department's appeal is received.
Stay of demand before the Tribunal
Filing an appeal does not suspend recovery. A separate stay application is required, and the Tribunal will ordinarily impose conditions — commonly a part payment, an undertaking not to seek adjournments, and a time limit on the stay itself. Where a stay is granted, the appeal is usually taken up out of turn, so the application has a scheduling benefit as well as a protective one.
Why a remand is not a win
Where the Tribunal finds that facts were not properly examined or that natural justice was not observed, it may set the order aside and remand the matter for fresh consideration. This registers as a favourable order, and it is frequently reported as one, but on merits it decides nothing. The issue returns to the lower authority, the process restarts, and interest continues to accrue throughout.
An assessee with a strong legal point should usually press for a decision rather than accept a remand. A remand is genuinely useful only where the factual record is inadequate and the assessee expects to improve it.
Onward to the High Court
An appeal from the Tribunal lies to the High Court under Section 260A within one hundred and twenty days of receipt of the order, but only on a substantial question of law. The High Court will not re-examine findings of fact, which is why the Tribunal is the last opportunity to get the facts right, and why the framing of the question of law is decisive at the next stage.
General guidance only. Procedure before the Tribunal varies with the bench and the facts, and advice should be taken on the particular matter.