TaxTMI 
TaxTMI 
1970 (4) TMI 16
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....ent year 1954-55 on June 5, 1954. The assessee failed to file any return in compliance with the notices. Thereupon, he was served with notices under section 22(4) for both the assessment years and was required to produce accounts on specified dates. None appeared on any one of those dates but applications were submitted praying for adjournment on certain grounds. The Income-tax Officer was not satisfied with the reasons given for seeking adjournments and he proceeded to make the asssessment under section 23(4) of the Act. The assessee moved the Income-tax Officer under section 27 to reopen the assessments on the grounds given in the applications filed, in that behalf. The Income-tax Officer appeared to be satisfied that there was sufficient....
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.... is in the following terms : " 27. Cancellation of assessment when cause is shown.---Where an assessee within one month from the service of a notice of demand issued as hereinafter provided, satisfies the Income-tax Officer that he was prevented by sufficient cause from making the return required by section 22, or that he did not receive the notice issued under sub-section (4) of section 22, or sub-section (2) of section 23, or that he had not a reasonable opportunity to comply, or was prevented by sufficient cause from complying, with the terms of the last mentioned notices, the Income-tax Officer shall cancel the assessment and proceed to make a fresh assessment in accordance with the provisions of section 23." Section 22 provides for....
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.... the return in response to the notice issued under sub-section (2) or such other evidence as the Income-tax Officer may require to be produced on specified points, has to assess the total income of the assessee. It is provided by sub-section (4) : " If any person fails to make the return required by any notice given under sub-section (2) of section 22 and has not made a return or a revised return under sub-section (3) of the same section or fails to comply with all the terms of a notice issued under sub-section (4) of the same section or, having made a return, fails to comply with all the terms of a notice issued under sub-section (2) of this section, that Income-tax Officer shall make the assessment to the best of his judgment and determ....