Jurisdiction of income-tax assessment after administrative transfer upheld; assessment sustains despite transfer challenge and petition dismissed.

Whether an income tax assessment is void for lack of jurisdiction after an administrative transfer was contested. The article explains that allocation and transfer of tax functions are administrative measures; transfer provisions include procedural safeguards and intra departmental rules for resolving jurisdiction. Defects in allocation or transfer are treated as irregularities and do not vitiate completed assessments; objections to place or jurisdiction are barred once assessment is final or where the assessee filed a return. Consequently, the assessment survives the transfer challenge and the petition against it fails.

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Issues: Whether the income-tax assessment dated 30 March 1988 was without jurisdiction because a Board order dated 31 December 1987 purportedly transferred the case with effect from 20 January 1988.

Analysis: The Act establishes income-tax authorities and leaves allocation of functions to the Board or Commissioner as administrative measures of convenience. Section 127 permits transfer of cases (with procedural safeguards for non-local transfers). Section 124(4) provides intra-departmental resolution of jurisdictional questions and section 124(5)(a) bars raising jurisdiction objections after assessment completion where the assessee has filed a return. The statutory scheme treats allocation/transfer as procedural/administrative; defects in allocation amount to irregularity and do not vitiate the resulting assessment. Precedent treats transfer provisions as administrative conveniences and bars raising place/jurisdiction objections post-assessment or where statutory time limits have expired.

Conclusion: The assessment is not rendered invalid for want of jurisdiction by the earlier transfer order; the petitioner's plea fails and the petition is dismissed in favour of the Revenue.

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