Law:

Section:

JUDGMENT Mohan, J.-These writ petitions are for prohibition prohibiting the respondents herein from taking recovery proceedings against the petitioner under the provisions of the I.T. Act, 1961 (hereinafter referred to as "the Act"), relating to the assessment years 1962-63 and 1963-64 seeking to recover a sum of Rs. 1,25,858 in pursuance of the demand dated January 29, 1975. The short facts are as follows : The father of the petitioner was a partner in three firms, (1) M/s. S.S. Sannanna Chettiar & Sons, (2) M/s. Shanmugasundaram Textiles, and (3) M/s. Mari Chettiar & Co. The petitioner retired from the firm of M/s. S.S. Sannanna Chettiar & Sons on April 19, 1963. The business of the said firm was continued under a new and different partnership arrangement. In other words, there was a change in the constitution of the firm of M/s. S.S. Sannanna Chettiar & Sons as per the provisions of s. 187(2)(a) of the Act. After the petitioner retired from the partnership, the business was carried on by two of the other partners along with two other persons who were taken in as partners. The latter partnership came to be dissolved with effect from April 12, 1972. For the assessment years 1962-63 and 1963-64, during which period the petitioner was a partner in the firm, the assessments were completed only on March 25, 1967, and March 29, 1968, respectively, under s. 189(3) of the Act. The profits of the firm for these assessment years were allocated amongst the partners who constituted the firm before the retirement of the petitioner on April 19, 1963. On February 23, 1972, the first respondent sent a communication stating that in respect of the arrears due by the firm, M/s. Sannanna Chettiar & Sons, for these assessment years, the petitioner would be jointly and severally liable to pay over the arrears as a partner at the time of the dissolution. On February 25, 1972, the petitioner sent a reply stating that on and from April 19, 1963, he ceased to be a partner and, thereafter, there was a change in the constitution. It was further stated that he was not a partner at the time of the dissolution of the partnership on April 12, 1972, and that the…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492