TaxTMI 
TaxTMI 
2009 (7) TMI 711
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.... by the limitation prescribed under the Income-tax Act and the said proceedings having been commenced after the limitation period are non-est and ab initio void ? 2. Whether the provisions of section 184(5) of the Income-tax Act, 1961 could be invoked by the Assessing Officer in the absence of proceeding under section 144 being initiated by the authorities ?" 2. In this background, we have heard advocate Mr. Shivan Dessai for the appellant and Mr. Rivonkar for the Department. 3. The facts are not much in dispute. The challenge is to the order of the Income-tax Appellate Tribunal, Panaji Bench, Panaji dated March 17, 2003, whereby the appeal filed by the assessee came to be dismissed and the order of the Commissioner of Income-tax (Appeal....
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....en proceeded to add interest under sections 234A and 234B and thus determined the total tax liability to be Rs. 1,73,809. 4. On February 2, 2002 the assessee approached the Commissioner of Income-tax (Appeals) and his appeal came to be dismissed on July 12, 2002. Then he approached the Income-tax Appellate Tribunal on October 7, 2002 and the Income-tax Appellate Tribunal dismissed his appeal on July 17, 2003. 5. In this back ground advocate Mr. Dessai for the assessee has invited our attention to the provisions of section 153(1) to urge that the time limit for undertaking the exercise of assessment expired on March 31, 1997. He states that the return filed by the assessee was on January 9, 1998, and under wrong advice. As there was no sco....
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....ns 234A and 234B is arbitrary as proper notice as also opportunity to the appellant in that regard was a must. He states that on December 12, 2001, the Assessing Officer has not passed any order to support levy of such interest. He has relied upon the judgment of the hon'ble Patna High Court reported in Smt. Tej Kumari v. CIT [2001] 247 ITR 210 to show that the order of the Assessing Officer is therefore, liable to be quashed and set aside at least to the extent of levy of interest. 8. Advocate Rivonkar has invited attention to the provisions of section 260A to urge that the questions as formulated can only be looked into at the stage of final hearing. He further stated that though in appropriate cases this court can frame even additional ....
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....-tax Appellate Tribunal and therefore only it has reproduced the said part. 10. Before us, it is clear that the assessee paid advance tax of Rs. 8,000 and did not file any return. His return for the assessment year 1994-95 was tendered by him on January 9, 1998. The provisions of section 153(1) on which reliance was placed envisage assessment under sections 143 and 144. It is therefore, obvious that the bar under section 153(1) is not relevant in the present circumstances. 11. Admittedly as no return was filed, in the light of Explanation 2 to section 147, the respondents have issued notice under section 148. As notice under section 148 was issued, it is clear that the procedure as contemplated by section 142 needed to be followed and acc....
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....closed therein by the assessee. The Assessing Officer has implemented the provisions of section 184(5) and as there was failure on the part of the assessee to file return as contemplated by section 144(1) of the Act, the assessment has been done by treating the assessee as association of persons. The allowance claimed by the assessee while returning taxable income of Rs. 4,060 was therefore disallowed by the Assessing Officer. This disallowance is after issuing notice to the assessee. The income escaping assessment is calculated at Rs. 1,61,144, i.e., in excess of Rs. 50,000. The time limit therefore was ten years as per clause (iii) of sec-tion 149(b) then in force. In this view of the matter, we do not find any substance in the contention....