1970 (3) TMI 18

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....nder section 148 of the Income-tax Act, 1961, was served on Murari Lal, a former partner of the firm. The Income-tax Officer made an assessment order dated March 10, 1969, under section 147 of the Act of 1961, computing the total income at Rs. 71,072. Aggrieved by the assessment order the petitioner has filed this petition under article 226 of the Constitution. Sri S. B. L. Srivastava, learned counsel for the petitioner, contends that the assessment proceeding lay under the Indian Income-tax Act, 1922, and not under the provisions of the Income-tax Act, 1961. He urges that inasmuch as the income said to have been concealed by the petitioner was less than Rs. 1,00,000, the period of limitation governing the issue of a notice under section....

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....r the original record of the income-tax assessment proceeding before us. From the report of the Income-tax Officer recording the reasons, on the basis of which he obtained the sanction of the Central Board of Direct Taxes, it seems to us impossible to hold that lie considered that the concealed income exceeded Rs. 1,00,000. The reasons recorded are : " Assessment for 1953-54 was completed on an income of Rs. 10,303. The account books for this period were seized by the sales tax department. These books reveal a profit of Rs. 39,242. There thus is a concealment of about Rs. 29,000 as per books. In addition to this the accounts of the partners on the opening day show credit balance of Rs. 1,91,933 in seized books as against Rs. 75,179 sh....