AI Structured Summary
Not yet generated for this judgment
Judgment
By this petition, the petitioner-assessee challenges order dated 31-1-2008 passed by the Settlement Commission and action initiated by respondent No. 4, Income Tax Officer, for completing the assessment proceedings.
Case set out in the petition is that the petitioner is engaged in the business of construction. After assessment was completed for the assessment years 1995-96 to 1997-98, the petitioner received notice u/s 148 of the Income Tax Act, 1961 (for short, ''the Act'') for reassessment, in response thereto, the petitioner filed revised returns, declaring the original income. The petitioner also received notice dated 2-8-1999 u/s 143(2) of the Act. On 14-6-2000, the petitioner filed an application before the Income Tax Settlement Commission (ITSC). The application was admitted vide order dated 6-12-2000. Thereafter, the matter remained pending. On 1-6-2007, amendments were made to Section 245D of the Act, making it obligatory for the petitioner to pay additional tax on the income disclosed before the Settlement Commission by 31-7-2007. The petitioner did not pay the additional tax as required, on which, the application stood abated on 31-7-2007 in terms of statutory provisions of Section 245D(2D) of the Act. However, the Commission passed an order dated 31-1-2008 declaring the application to have abated on 31-1-2008. If abatement is held to be on 31-7-2007, assessment became time-barred.
We have heard learned Counsel for the petitioner at length. Contentions raised in support of the petition are as under:
(i) The Commission has no jurisdiction to declare the date of abatement to be 31-1-2008 when the said date statutorily was 31-7-2007;
(ii) Re-assessment proceedings became time-barred u/s 153(2) of the Act on expiry of the period of two years excluding the period spent in proceedings before the Settlement Commission.
Admittedly, the Assessing Officer received intimation of termination of proceedings before the Settlement Commission after 31-1-2008. From the said date, the period has not yet expired.
However, we do not express any final opinion on this question at this stage when the matter is still pending before the Income Tax Officer, where the issue can be decided and the petitioner will have all the opportunity.
We are of the view that the writ petition cannot be entertained at this stage.
Dismissed.