https://www.taxtmi.com/caselaws?id=277160 Section 34 of the Indian Income-tax Act, 1922 could be invoked where the Income-tax Officer had definite information leading to an honest and reasonable belief that income had escaped assessment, and the notice was issued on that basis. Material obtained from recomputation proceedings supported the belief, and the later passing of the Commissioner's final order in the excess profits matter did not invalidate the notice. Section 34 was treated as a machinery provision; the tax liability arose from the charging provisions of the Act, not from the notice itself. The proceeding was therefore held valid and the question was answered in the affirmative against the assessee. en-us Fri, 23 Feb 1951 00:00:00 +0530 Tue, 27 Nov 2018 14:56:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=277160 Section 34 of the Indian Income-tax Act, 1922 could be invoked where the Income-tax Officer had definite information leading to an honest and reasonable belief that income had escaped assessment, and the notice was issued on that basis. Material obtained from recomputation proceedings supported the belief, and the later passing of the Commissioner's final order in the excess profits matter did not invalidate the notice. Section 34 was treated as a machinery provision; the tax liability arose from the charging provisions of the Act, not from the notice itself. The proceeding was therefore held valid and the question was answered in the affirmative against the assessee. Case-Laws Income Tax Fri, 23 Feb 1951 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=277160