Income Tax Act, 2025
Section 245E: Power of Settlement Commission to reopen completed proceedings.—If the Settlement
245E. Power of Settlement Commission to reopen completed proceedings.—If the Settlement
Commission is of the opinion (the reasons for such opinion to be recorded by it in writing) that, for the
proper disposal of the case pending before it, it is necessary or expedient to reopen any proceeding
connected with the case but which has been completed 1*** under this Act by any income-tax authority
before the application under section 245C was made, it may, with the concurrence of the applicant,
reopen such proceeding and pass such order thereon as it thinks fit, as if the case in relation to which the
application for settlement had been made by the applicant under that section covered such proceeding
also:
2[Provided that no proceeding shall be reopened by the Settlement Commission under this section if
the period between the end of the assessment year to which such a proceeding relates and the date of
application for settlement under section 245C exceeds nine years:]
3[Provided further that no proceeding shall be reopened by the Settlement Commission under this
section in a case where an application under section 245C is made on or after the 1st day of June, 2007.]
245F. Powers and procedure of Settlement Commission.—(1) In addition to the powers conferred
on the Settlement Commission under this Chapter, it shall have all the powers which are vested in an
income-tax authority under this Act.
(2) Where an application made under section 245C has been allowed to be proceeded with
under section 245D, the Settlement Commission shall, until an order is passed under sub-section (4) of
section 245D, have, subject to the provisions of sub-section (3) of that section, exclusive jurisdiction to
exercise the powers and perform the functions of an income-tax authority under this Act in relation to the
case:
4[Provided that where an application has been made under section 245C on or after the 1st day of
June, 2007, the Settlement Commission shall have such exclusive jurisdiction from the date on which the
application was made:
Provided further that where—
(i) an application made on or after the 1st day of June, 2007, is rejected under sub-section (1)
of section 245D; or
(ii) an application is not allowed to be proceeded with under sub-section (2A) of section 245D, or,
as the case may be, is declared invalid under sub-section (2C) of that section; or
(iii) an application is not allowed to be further proceeded with under sub-section (2D) of section
245D,
the Settlement Commission, in respect of such application shall have such exclusive jurisdiction upto the
date on which the application is rejected, or, not allowed to be proceeded with, or, declared invalid, or,
not allowed to be further proceeded with, as the case may be.]
(3) Notwithstanding anything contained in sub-section (2) and in the absence of any express direction
to the contrary by the Settlement Commission, nothing contained in this section shall affect the operation
of any other provision of this Act requiring the applicant to pay tax on the basis of self-assessment 5*** in
relation to the matters before the Settlement Commission.
(4) For the removal of doubt, it is hereby declared that, in the absence of any express direction by the
Settlement Commission to the contrary, nothing in this Chapter shall affect the operation of the provisions
of this Act in so far as they relate to any matters other than those before the Settlement Commission.
6[7* * * * *
1. The word and figures “under the Indian Income-tax Act, 1922, or” omitted by Act 67 of 1984, s. 42 (w.e.f. 11984).
In addition to the powers conferred
on the Settlement Commission under this Chapter, it shall have all the powers which are vested in an
income-tax authority under this Act.
Where an application made under section 245C has been allowed to be proceeded with
under section 245D, the Settlement Commission shall, until an order is passed under sub-section
of
section 245D, have, subject to the provisions of sub-section
of that section, exclusive jurisdiction to
exercise the powers and perform the functions of an income-tax authority under this Act in relation to the
case:
4[Provided that where an application has been made under section 245C on or after the 1st day of
June, 2007, the Settlement Commission shall have such exclusive jurisdiction from the date on which the
application was made:
Provided further that where—
an application made on or after the 1st day of June, 2007, is rejected under sub-section
of section 245D; or
an application is not allowed to be proceeded with under sub-section
of section 245D, or,
as the case may be, is declared invalid under sub-section
of that section; or
an application is not allowed to be further proceeded with under sub-section
of section
245D,
the Settlement Commission, in respect of such application shall have such exclusive jurisdiction upto the
date on which the application is rejected, or, not allowed to be proceeded with, or, declared invalid, or,
not allowed to be further proceeded with, as the case may be.]
Notwithstanding anything contained in sub-section
and in the absence of any express direction
to the contrary by the Settlement Commission, nothing contained in this section shall affect the operation
of any other provision of this Act requiring the applicant to pay tax on the basis of self-assessment 5*** in
relation to the matters before the Settlement Commission.
For the removal of doubt, it is hereby declared that, in the absence of any express direction by the
Settlement Commission to the contrary, nothing in this Chapter shall affect the operation of the provisions
of this Act in so far as they relate to any matters other than those before the Settlement Commission.
6[7* * * * *
1. The word and figures “under the Indian Income-tax Act, 1922, or” omitted by Act 67 of 1984, s. 42 (w.e.f. 11984).