The Income Tax Department has released detailed FAQs clarifying the use, filing process, and compliance requirements of Form 116.
The form plays a crucial role in enabling taxpayers and authorities to file cross-objections before the Income Tax Appellate Tribunal (ITAT) when an appeal has already been initiated by the opposite party.
What is Form 116?
Form 116 is the prescribed format for filing a memorandum of cross-objections before the ITAT. It allows the respondent in an appeal to raise objections without filing a separate appeal.
This reform replaces the earlier Form 36A and aligns with the new framework introduced under the Income Tax Act, 2025.
Who Can File Form 116?
As per the FAQs, Form 116 can be filed by:
- Taxpayers (Assessees)
- Income Tax Department
- Government deductors
Any respondent to an appeal who wishes to contest certain aspects of the order can file cross-objections using this form.
Is Filing Form 116 Mandatory?
No. Filing Form 116 is optional.
However, it becomes relevant when the respondent intends to challenge specific issues in an appeal filed by the other party.
Deadline: 30 Days Time Limit
The Income Tax Department has clarified that Form 116 must be filed within:
- 30 days from the date of receiving the notice of appeal
In case of delay, taxpayers must provide a valid explanation and request condonation.
Can Form 116 Be Filed Without an Appeal?
No.
Form 116 cannot be filed independently. It is only valid when:
- An appeal is already filed before ITAT and
- The respondent has received a notice regarding that appeal
Key Details Required in Form 116
The form is structured into multiple parts capturing comprehensive information, including:
- Part A & B: Details of appellant and respondent
- Part C: Appeal details (order, date, authority, etc.)
- Part D: Disputed amounts
- Part E: Grounds of cross-objection
- Verification section
Each ground must be clearly stated, numbered, and supported with the tax effect.
Important Filing Rules You Must Know
- Must be filed electronically via ITAT portal
- Can be filed in English or Hindi
- Cannot be revised once submitted
- Multiple grounds can be raised
- Supporting documents must be attached
- Signed by authorised person or representative
Why Form 116 Matters
Form 116 is designed to:
- Enable complete dispute resolution in a single proceeding
- Avoid filing of separate appeals
- Strengthen the respondent's legal position
- Reduce litigation burden and duplication of proceedings
Documents Required for Filing
Taxpayers must attach:
- Copy of the order appealed against
- Copy of the original appeal
- Relevant supporting documents
- Delay condonation statement (if applicable)
Big Picture: A Step Toward Simplified Tax Litigation
The introduction and clarification of Form 116 reflect the government’s broader intent to make tax litigation more efficient, structured, and taxpayer-friendly.
By allowing respondents to raise objections within the same appeal framework, the system reduces procedural complexity and ensures faster resolution of disputes.
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