TaxTMI 
TaxTMI 
1998 (3) TMI 183
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....rn was earlier filed by the assessee and no assessment was earlier made, it was not a case of re-opening an assessment made earlier. The Assessing Officer had therefore rightly charged interest under sections 139(8) and 217 of Income-tax Act, 1961. The Tribunal has deleted the interest levied under sections 139(8) and 217 by holding that such assessment made by the Assessing Officer under section 147 cannot be treated as regular assessment. Reliance has been placed on the judgment of the Hon'ble Supreme Court in the case of Modi Industries Ltd. v. CIT [1995] 216 ITR 759/82 Taxman 377. It has been pointed out that the Supreme Court in the said judgment has clearly held that the first assessment order made either under section 143 or 144 or s....
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.... in such assessment." Similar view was taken by the Hon'ble Rajasthan High Court in the case of CIT v. Multimetals Ltd. [1991] 187 ITR 99. 3. The learned D.R. placed heavy reliance on the judgment of Hon'ble Supreme Court in the case of Modi Industries Ltd. that was a judgment involving consideration of the meaning of expression 'regular assessment' in section 214. The Hon'ble Supreme Court took into consideration the various amendments made in section 214, 215 w.e.f.1-4-1985. It may be relevant here to reproduce the findings given by the Hon'ble Supreme Court in the aforesaid case:- "UptoMarch 31, 1975, interest under section 214 is payable from the first day of April of the relevant assessment year to the date of the first assess....
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.... tax as a result of any subsequent proceedings. 4. It is true that the Hon'ble Supreme Court held that the Explanation (2) introduced by the Taxation Laws (Amendment) Act 1984 w.e.f. 1-4-1985 in section 214 which says that "where in relation to an assessment year, an assessment is made for the first time under section 147, the assessment so made shall be regarded as a regular assessment for the purposes of this section" furnish unmistakable indication of the meaning assigned by the Parliament to the expression "regular assessment" in section 214(1). Such findings have been given at pages 801 and 802 of the said judgment reported in 216 ITR. The said judgment however, nowhere lays down that the provisions of sections namely the Explanatio....
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....Jiyajeerao Cotton Mills Ltd. v. ITO [1981] 130 ITR 710 (Cal.) followed." The Hon'ble Madras High Court in the case of Seshasayee Paper & Boards Ltd. v. IAC [1986] 157 ITR 342/24 Taxman 604 has held as under:- "Even a wrong order has a finality and unless that finality is disturbed by a process known to law or by a process authorised by law, the rights of the assessee and the revenue will continue to be governed by the order. A decision of the Supreme Court will not automatically have the effect of vacating the order of the Tribunal which has been statutorily made final under section 254(4) of the Income-tax Act, 1961, and which has already been given effect to. The question as to the capital employed for grant of relief under section ....
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....e Supreme Court has construed the meaning of a section, then any decision to the contrary given by any other authority must be held to be erroneous and such error must be treated as an error apparent on the record. In the instant case, on the strength of the decision of this court in the case of Anglo French Textile Co. Ltd. v. CIT [1953] 23 ITR 82 (SC): TC 45R, 199, the AAC took the view that his predecessor had committed an apparent error of law in allowing carry forward of losses in the computation of agricultural income tax under the Kerala Agrl. Income-tax Act. The question is whether section 12 of the Kerala Agrl. Income-tax Act must be interpreted in the manner in which this Court has interpreted section 24 of the Indian Income-tax A....