Central Board of Direct Taxes (CBDT) has issued Notification No. 76/2020 dated 25th September, 2020 to introduce Faceless Appeal Scheme, 2020 to provide for e-appeal and for the online hearing and disposal of appeals related to income-tax disputes by the Commissioner (Appeals).
Key Points of the Notification are :
1) The appeal under this Scheme shall be disposed of in respect of such territorial area or persons or class of persons or incomes or class of incomes or cases or class of cases, as may be specified by the Board.
2) The Scheme involves setting up a (a) National Faceless Appeal Centre to facilitate the conduct of e-appeal proceedings in a centralised manner (b) Regional Faceless Appeal Centres as it may deem necessary to facilitate the conduct of e-appeal proceedings and (c) Appeal units as it may deem necessary to facilitate the conduct of e-appeal proceedings, to perform the function of disposing appeal.
3) All communication between the appeal unit (one or more Commissioner Appeals such other income-tax authority, ministerial staff, executive or consultant to assist the Commissioner Appeals) and the appellant or any other person or the National e-Assessment Centre or the Assessing Officer with respect to the information or documents or evidence or any other details, as may be necessary under this Scheme shall be through the National Faceless Appeal Centre.
4) In case, where the appellant has filed the appeal after the expiration of time the appeal unit may if it is satisfied that the appellant had sufficient cause for not filing the appeal within the said time, admit the appeal; or in any other case, reject the appeal under intimation to the National Faceless Appeal Centre who shall intimate the admission or rejection of appeal, as the case may be, to the appellant
5) In case where the appellant has applied for exemption from the operation where no return has been filed by the assessee and the assessee has paid an amount equal to the amount of advance tax which was payable by him then the appeal unit may admit the appeal and exempt the appellant from the operation of provisions of said clause for any good and sufficient reason to be recorded in writing; or in any other case, reject the appeal under intimation to the National Faceless Appeal Centre who shall intimate the admission or rejection of appeal, as the case may be, to the appellant.
6) In case, the appeal is admitted then the National Faceless Appeal Centre shall serve a notice upon the appellant or any other person to submit such information, document or evidence or report who shall file a response to the notice within the date and time specified therein, or such extended date and time as may be allowed on the basis of an application made in this behalf, with the National Faceless Appeal Centre.
7) The National e-Assessment Centre or the Assessing Officer, as the case may be, may request the National Faceless Appeal Centre to direct the production of any document or evidence by the appellant, or the examination of any witness, as may be relevant to the appellate proceedings.
8) Appeal unit may, in the course of appeal proceedings, for non-compliance of any notice, direction or order issued under this Scheme on the part of the appellant or any other person, as the case may be, send recommendation for initiation of any penalty proceedings to the National Faceless Appeal Centre who shall upon receipt of recommendation serve a notice on the appellant or any other person, as the case may be, calling upon him to show cause as to why penalty should not be imposed upon him under the relevant provisions of the Act.
9) The appellant or any other person, as the case may be, shall file a response to the show-cause notice within the date and time specified in such notice, or such extended date and time as may be allowed on the basis of an application made in this behalf, to the National Faceless Appeal Centre.
10) All communications between the National Faceless Appeal Centre and the appellant, or his authorized representative, shall be exchanged exclusively by electronic mode.
11) An electronic record under this scheme shall be authenticated by the appellant or any other person, by affixing his digital signature if he is required under the Income Tax Rules to furnish his return of income under digital signature, and in any other case by affixing his digital signature or under electronic verification code.
12) Every notice or order or any other electronic communication under this Scheme shall be delivered to the addressee, being the appellant, by way of (a) placing an authenticated copy thereof in the appellant’s registered account; or (b) sending an authenticated copy thereof to the registered email address of the appellant or his authorised representative; or (c) uploading an authenticated copy on the appellant’s Mobile App; and followed by a real time alert.
13) Every notice or order or any other electronic communication under this Scheme shall be delivered to the addressee, being any other person, by sending an authenticated copy thereof to the registered email address of such person, followed by a real time alert.
14) The appellant shall file his response to any notice or order or any other electronic communication, under this Scheme, through his registered account, and once an acknowledgement is sent by the National Faceless Appeal Centre containing the hash result generated upon successful submission of response, the response shall be deemed to be authenticated.
15) A person shall not be required to appear either personally or through authorised representative in connection with any proceedings under this Scheme before the income-tax authority at the National Faceless Appeal Centre or Regional Faceless Appeal Centre or appeal unit set up under this Scheme.These persons may request for personal hearing so as to make his oral submissions or present his case before the appeal unit under this Scheme.
The scheme has come into force from 25th day of September, 2020.
For further details please refer the attached document.
Source: Central Board of Direct Taxes (CBDT)
