Court : Guwahati
Decided on : Apr-03-1991
..... to the provisions of section 147(a), it was held (p. 427) : 'the principle in such cases is culled from the words in clause (a) of section 147 of the income-tax act. the words are whether the assessee disclosed 'fully and truly all material facts necessary for assessment'. once the assessee does that, what inferences are to be drawn is in the ..... court for opinion ; 'whether, on the facts and in the circumstances of the case, the tribunal was correct in holding that the reassessment proceedings under section 147(a) of the income-tax act, 1961, for the assessment years 1958-59 and 1959-60 were not valid in law ?' 2. the assessee is an individual. the years involved are assessment years 1958-59 and ..... officer was satisfied with the genuineness of the transaction at the time of the original assessment, it does not lie in the power of the subsequent income-tax officer to initiate action under section 147 of the income-tax act.' 8. in view of the aforesaid observation, the orders of reassessment for both the assessment years were cancelled by the tribunal and the order of ..... 1959-60. the original assessment for the assessment year 1958-59 was made by the income-tax officer on an income of rs. 5,301 by order of assessment dated april 10, 1961. subsequently, the income-tax officer initiated proceedings for reassessment under section 147 of the income-tax act by issue of a notice under section 148 to the legal representative of the assessee (as .....Tag this Judgment!
Court : Delhi
Decided on : Oct-08-1991
Reported in : (1991)100CTR(Del)199; 46(1992)DLT399; 1991(1)DRJ(Suppl)76
..... kashi ram aggarwalla but the supreme court observed that 'this decision is not of any assistance to the revenue in the present case since that was transfer from one income-tax officer to another income tax officer in the same citv, or, as stated in the judgment itself, 'in the same locality' and the proviso to section 127(1). thereforee, applied. (10) it is ..... the petitioner before us. in view of this we need not go into the submissions of learned counsel for the respondent that the provisions of section 124(3) of the income tax actwere attracted in the present case and the petitioners did not raise the question of jurisdiction within the time prescribed by the said provisions. (14) we have no doubt in ..... that the impugned orders cannot be challenged on the ground that the board has not recorded reasons in directing the transfer of the cases pending against the assessed from one income-tax officer to another in the same locality.'(13) from the aforesaid it is clear that the order passed under section 127(3), as the said provision now exists, is merely ..... reaso's for the transfer should have been communicated. the section cantention is that the order dated 7th may 1990 was not served on the assessed by the commissioner of income tax and lastly, it is contended that the order of transfer is effective onlyfronv the date when it was communicated to the petitioners. intbisconriclionitis- submitted that any action taken prior to .....Tag this Judgment!
Court : Mumbai
Decided on : Mar-08-1991
Reported in : (1991)97CTR(Bom)186; 191ITR483(Bom)
..... tribunal has referred the following two questions to this court under section 256(1) of the income-tax act, 1961 :'(1) whether, on the facts and in the circumstances of the case, the premium of rs. 4,50,000 paid by the ..... with the said view of the income-tax officer. the income-tax appellate tribunal in appeal came to the conclusion that the said expenditure was liable to be viewed as a premium for obtaining the water supply and ..... because the said amount is so described in the accounts of the assessee-company, it does not follow that the said expenditure is not a revenue expenditure. the income-tax officer, in his order, has clearly stated that the said amount of rs. 4,50,000 was debited by the assessee to the works expenses account. ..... said sum of rs. 4,50,000 was to be treated as a capital contribution of the assessee-company towards acquisition of a capital asset.4. the income-tax officer took the view that the said amount of rs. 4,50,000 was liable to be treated as capital expenditure. the appellate assistant commissioner agreed ..... in that case more as a matter of commercial expediency than anything else. this case was, therefore, rightly distinguished by our high court in cooper engineering ltd., v. cit : 169itr66(bom) , by making the following observations (p. 70) :'the emphasis in the madras judgment is upon the commercial expediency which made the assessee .....Tag this Judgment!
Court : Delhi
Decided on : Oct-25-1991
Reported in : (1991)100CTR(Del)160; 1992RLR1
..... under section 143(1) of the income-tax act whereby certain adjustments have been carried out by the income-tax officer which have resulted in taxable income being computed. 2. the petitioner filed a return for the assessment year 1989-90 and disclosed a loss of rs. 53,850. the income-tax officer then issued an intimation dated october ..... by an assessed, then for the lack of proof, no disallowance or an adjustment can be made. the only option which is open to the income-tax officer, in such a case, is that he can require the assessed to furnish proof in which case he will presumable have to issue notice ..... conclusion that the claim of the assessed is inadmissible must, in other words, flow from the return as filed. no power is given to the income-tax officer to disallow a claim for the reason that there is no proof in support of the claim made by the assessed. in a way the ..... the instance case it is clause (iii) of the proviso which was sought to be applied by the income-tax officer. the said clause clearly provides that the income-tax officer can make an adjustment to the income or loss declared in the return if, on the basis of the information available in such return, accounts ..... contended by learned counsel for the petitioner that, on a correct interpretation of section 143(1), no such additions for the reasons stated by the income-tax officer could have been made. we shall revert to that presently. mr. gupta has vehemently contended that, after the aforesaid intimation had been sent, .....Tag this Judgment!
Court : Kerala
Decided on : Oct-11-1991
Reported in : 198ITR573(Ker)
..... is not expenditure. counsel argued that what is taxable under the income-tax act is only income and the income-tax officer cannot conjure up an income on the basis of the method of accounting kept by the assessee which is not the real income of the assessee. when the assesee receives the sale proceeds of tea ..... liabilities do not constitute expenditure and cannot be the subject-matter of deduction even under the mercantile system of accounting. expenditure which was deductible for income-tax purposes is towards a liability actually existing at the time but setting apart money which might become expenditure on the happening of an event is ..... is accrued, in view of the fact that the assessee maintained accounts on mercantile basis, deduction can be undoubtedly allowed. but the commissioner of income-tax (appeals) also found that the amount of rs. 3,40,000 sought to be deducted by the assessee is a contingent liability of a ..... interest for the period after december 31, 1979, on the amounts payable to the bank on account of discounting of export sale bills. the income-tax officer, therefore, found that the amount in question was not even an accrued interest as on december 31, 1979, and even though the assessee ..... of interest for the period after december 31, 1979, on amounts payable to the bank consequent on the discounting of the export sale bills. the income-tax officer found that there was no accrued interest as on december 31, 1979, and in that view of the matter, he rejected the claim .....Tag this Judgment!
Court : Kerala
Decided on : Jun-04-1991
Reported in : 194ITR85(Ker)
..... of the amount by the state, the department is not without any remedy. the department can bring the amount to tax under section 41(1) of the income-tax act. that section makes ample provision in such a situation. interpreting this provision, the allahabad high court in the decision in ..... accounts are maintained on the mercantile system of accounting and no dispute has been raised by counsel for the revenue. the income-tax officer, the commissioner of income-tax (appeals) and the tribunal had proceeded on the basis that the assessee was maintaining accounts on the mercantile system. we ..... the assessment order. no reference is also seen made about the method of account; ing in the assessment order. the commissioner of income-tax and the appellate tribunal had also not adverted to this fact. however, it is pointed out by counsel for the assessee that ..... instance of the revenue that the two questions aforementioned were referred to this court for decision.3. assailing the order of the income-tax appellate tribunal, learned counsel for the revenue strenuously contends that the tribunal has committed an error of law in treating the amount ..... j. k. synthetics ltd. v. o. s. bajpai ito : 105itr864(all) had held thus (p. 881) :'in short, what this provision means is that if an assessee has been allowed a deduction in the computation of its total income .....Tag this Judgment!
Court : Mumbai
Decided on : Oct-28-1991
Reported in : 199ITR739(Bom); 1992(2)MhLj1484
..... deceased husband and left rs. 94,253 in cash, the income-tax officer felt that the income chargeable to tax had escaped the assessment made in respect of the deceased for the year 1969-70. accordingly, a notice under section 148 of the income-tax act was issued to purshottam, the son of the deceased. ..... no other legal heir was noticed though it is incumbent upon the income-tax officer to do so. in response to the notice, a 'nil' return was ..... may represent the whole interest of the deceased and in such a case when there is complete representation of the interest of the deceased before the income-tax officer, the assessment made would bind the estate of the deceased. (2) there can be cases where, though one legal representative is served ..... other legal representatives. in such cases also, the assessment would bind the estate. (3) there can be a category of cases where the income-tax officer bona fide and diligently believes one or more persons to the only legal representatives of the deceased and initiates proceedings by serving notices on them ..... in this petition, it can never be inferred that purshottam projected himself as a legal representative representing also the cause of the petitioners before the income-tax officer, bhuj, for the simple reason that petitioner no. 1 did take part in the estate duty proceedings and was one of the signatories .....Tag this Judgment!
Court : Mumbai
Decided on : Feb-22-1991
Reported in : (1991)95CTR(Bom)176; 191ITR92(Bom)
..... tribunal, bombay, bench 'c', has referred the following questions to this court in a reference made under section 256(1) of the income-tax act, 1961 : '(1) whether, on the facts and in the circumstances of the case, and having regard to the activities of the assessee ..... case, the appellate tribunal was justified in treating the assessee as an 'industrial company' in respect of the assessment year under consideration and directing the income-tax officer to tax it accordingly ?' 2. the relevant assessment year is 1973-74. before the question as to whether the assessee-company is liable to be considered ..... to the assessment year 1973-74, the income-tax appellate tribunal relied upon its judgment in the appeal of ..... to the assessment years 1964-65 to 1971-72, the income-tax appellate tribunal took the view that the assessee was an industrial company within the meaning of the relevant finance acts and was entitled to be so treated for the purpose of rebate of tax. in the judgment of the tribunal in the case pertaining ..... the judgment on record. 3. in our judgment, the answer to this question is squarely covered by the judgment of our high court in the case of cit v. neo pharma private ltd. : 137itr879(bom) . in this case, it was held that although the plant and machinery employed for the purpose .....Tag this Judgment!
Court : Mumbai
Decided on : Mar-22-1991
Reported in : 192ITR543(Bom)
..... d. sugla, j.1. in this departmental reference relating to the assessee's assessment year 1970-71, the income-tax appellate tribunal has referred to this court only one question of law under section 256(1) of the income-tax act, 1961. that question is : 'whether, on the facts and in the circumstances of the case, the ..... in the partnership came to his share on partition. the question arose whether for that year, i.e., the calendar year 1955, the share of income from that partnership for the period up to november, 1956, was or was not assessable in the hands of the assessee as karta of the joint hindu ..... the period from june 1, 1969, to september 30, 1969, alone should have been included in the computation of the assessee's total income. following the supreme court decision in the case of cit v. ashokbhai chimanbhai : 56itr42(sc) , the tribunal, however, accepted the assessee's claim that the profits or losses for ..... the year the assessee was a partner in his individual capacity and not as karta of the joint hindu family, no share of income for that year was assessable as income of the family. according to dr. balasubramanian, the case of a partner is different from the case of a company which has ..... . for the year under reference, it would be from july 1, 1968, to june 30, 1969. the assessee filed its return of income for the assessment year 1970-71 disclosing its income for the period from july 1, 1968, to june 30, 1969. for the unit, belapur company, however, it was for the period .....Tag this Judgment!
Court : Mumbai
Decided on : Apr-10-1991
Reported in : (1991)96CTR(Bom)54
..... that, irrespective of the factual background of the case, we must hold that the compensation amount received from the shareholders must be taxed in the hands of the assessee-company as income from property exigible to tax under section 22 of the income-tax act, 1961. he contends that once there is any property consisting of buildings and/or and appurtenant thereto, of which the assessee ..... assessee. the supreme court, in palai central bank's case : 150itr539(sc) , cited with approval lists earlier judgment in cit v. b. c. srinivasa setty : 128itr294(sc) , and held that, under the scheme of the income-tax act, 1961, change of tax will not get attracted unless the case or transaction falls under the governance of the relevant computation provisions. the supreme court ..... owner, irrespective of whether he uses it himself, keeps it locked or lets it out, he is chargeable to tax under section 22 of the income-tax act, 1961, with regard to the annual value of the property as determined under section 23 of the act. in the present case, the assessee had not fully parted with the ownership rights and, therefore, continued to be ..... the owner of the property, i.e., the building known as 'nirmal'. hence, he contends, the assessee is liable to tax under section .....Tag this Judgment!