Law: Income Tax Act, 1961

Section: 144B

Income-tax----Assessment---Draft assessment order---Limitation--Draft assessment order alongwith objections submitted on 6-1.2-1983, directions received on 11-5-1984, and assessment made on 26-5-1984---Assessment was not barred by limitation---Income Tax Act, 1961, S. 144B. A return was filed for the assessment year 1981-82, declaring income of Rs.15,96,650. A revised return was filed showing income of Rs.11,50,866. The Income-tax Officer proposed variation in the income of the assessee exceeding Rs.1,00,000 and, therefore, he followed the procedure laid down in section 144B of the Income Tax Act, 1961. A draft of the assessment order was forwarded by the Income-tax Officer to the assessee on November 22, 1983. The objections were filed by the assessee on December 2, 1993. A copy of the draft assessment order along with the copy of the objections were sent to the Inspecting Assistant Commissioner on December 6, 1983. The directions were received from the Inspecting Assistant Commissioner on May 11, 1984. Assessment was made on. May 26; 1984. On the question whether - the assessment was barred by limitation: Held, that subsection (7) of section 144B was not attracted and the procedure, laid down in that section, was rightly followed as the Income-tax Officer, having concurrent jurisdiction with the Inspecting Assistant Commissioner under section 125A of the Act, proposed to make variation in the income of the assessee exceeding Rs.1,00,000. The assessment was not barred by limitation. CIT v. Gheru Lal Bal Chand (1998) 233 ITR 82 (P&H) fol. JUDGMENT N.K. AGRAWAL, J.---The following question has been referred to this Court by the Income-tax Appellate Tribunal (for short, "the Tribunal") under section 256(1) of the Income Tax Act, 1961 (for short, "the Act"): "Whether, on the facts and circumstances of the case, the Appellate Tribunal is right in law in holding that order made under section 144B of the Income-tax Act was bad in law and the assessment made on May 2.6, 1984, is barred by limitation?" The assessee-company derived income from the export of handicrafts, brassware, etc. A return was filed, for the assessment year 1981-82, declaring income of…

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