The Supreme Court recently held that the appointment member of the Income Tax Appellate Tribunal (ITAT) cannot be delayed on non-filing of Income Tax Returns.
Madras Bar Association, the applicant is a Member of the Income Tax Appellate Tribunal. On 17 April 2013, the Union Government issued a circular to fill up 48vacant posts of Members of the ITAT. The applicant applied in the unreservedcategory.
After the Interviews, a panel of names was prepared for appointment on 31 May 2014 in which the applicant was not included in the panel, so she moved to the Central Administrative Tribunal. The tribunal rejected her appeal on 9 November 2016. The applicant then moved the High Court of Calcuttawhich allowed the petition and set aside the impugned order. The Calcutta High Court had granted her relief by holding that she cannot be excluded merely on the ground that she had not filed income tax returns.
The applicant contended that the tenure of her appointment should operate until the age of 62 and not for a period of three years as stated in the letter ofappointment. Rule 11 of the Income Tax Appellate Tribunal Members (Recruitment and Conditions of Service) Rules 1963 stipulated that the age of retirement of the Members of the ITAT would be 62 years. In terms of those provisions, the applicant would have been entitled to continuein service until the age of 62 years.
A two-member comprising of Justice Pamidighantam Sri Narasimha and Justice J B Pardiwala observed the deprivation of the selection was on the ground that she had not filed her income tax return for the relevant assessment year.
Further viewed that the right of the applicant to appointment had been crystallized even before the 2017 Rules. Therefore, the appointment of the applicant would be governed by the position as it existed before the 2017 Rules. Further held that the tenure of the petitioner shallbe extended until she attains the age of 62 years.
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