Law:

Section:

Section 155, read with section 182, of the Income-tax Act, 1961 - Rectification of mistakes - Other amendments - Assessment year 1971-72 - Whether word 'assessment' includes all proceedings starting with filing of return or issue of notice and ending with determination of tax payable by assessee - Held, yes - Whether when proceedings are taken under section 155 to give effect to order of appellate authority and in pursuance thereof treat a firm registered one under Act, which was earlier treated as unregistered by the ITO, it is a proceeding for assessment - Held, yes FACT The assessee was a partner in a firm, which was initially assessed for the assessment year 1971-72 as unregistered firm. However, in appeal under section 184(7), it was held that the said firm was entitled to registration. The assessment for the assessment year in question was completed in respect of the assessee wherein his share from the said firm was taken as unregistered firm. However, in view of order passed under section 184(7), the ITO issued notice under sections 154 and 155 and, consequently, determined the share of the assessee. On appeal, the Commissioner (Appeals) upheld the order of the ITO. On further appeal, the assessee contended that section 155 had no application since there was no assessment or reassessment of the firm nor was it a case of any reduction or enhancement made in the income of the firm. The Tribunal having accepted the assessee's contention allowed the appeal holding that the appellate order was with respect to the status of the firm and there was no enhancement or reduction of the income of the firm and its partners, and, therefore, the order passed by the appellate authority granting registration to the firm was not an assessment order. On reference : HELD The word 'assessment' is used in the Act in a number of provisions in a comprehensive sense and it includes all proceedings starting with the filing of the return or issue of notice and ending with the determination of the tax payable by the assessee. It is also true that in so many sections the word 'assessment' is used with reference to the computation of income. [Para 6] When the proceedings are taken…

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