TaxTMI 
TaxTMI 
2006 (8) TMI 133
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....ed by the primary authority, appeals have been filed either by the petitioner-assessee or by the Revenue wherein orders have been passed requiring revision of the assessments under the Central Act as made by the primary authority. In such circumstances, it is sought to be contended that the assessments under the Assam Act are liable to be correspondingly revised. The impugned notices in question are, therefore, not legally sustainable. Secondly, it is contended, on behalf of the petitioner, that the refunds under the Assam Act for different assessment years are due and payable to the petitioner. Consequently, the demand raised by the impugned notices, in a situation where excess tax paid under the Assam Act is due to the petitioner, will not be justified. Having noticed the broad features of the challenge made in the present writ application it will be necessary to unravel the detailed facts as placed before the court by Dr. A.K. Saraf, learned counsel for the petitioner, so as to understand the precise nature of the challenge made in the writ petition. The assessment years for which tax has been demanded by the impugned notices are 1989-90, 1990-91, 1991-92, 1992-93, 1993-94 and....
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....authority in some of the assessment years in question, the assessments under the Assam Act cannot be understood to have attained finality in law in order to justify the demand notices issued. The fundamental basis on which the assessment of the petitioner under the Assam Act is required to be made, i.e. the assessment(s) under the Central Act not having attained finality, according to learned counsel for the petitioner, the impugned demand notices are wholly without jurisdiction and/or authority of law. In support of the second limb of the arguments advanced, Dr. Saraf, learned counsel for the petitioner, has placed before the court the letters written on behalf of the petitioner-assessee dated October 6, 1999, January 18, 2001 and September 14, 2000 (annexures I, J and K to the writ petition), to contend that for the assessment years 1999-2000, 2000-01 and 2001-02 refund of tax under the Assam Act is due and payable to the petitioner. The said refunds have not yet been tendered or paid. In such a situation, according to Dr. Saraf, learned counsel for the petitioner, the demand for the earlier assessment years as made by issuing the impugned notices under section 23 would be wholl....
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.... cannot be understood that merely because refunds under the Assam Act are pending for subsequent assessment years no demand of tax for the preceding assessment years can be raised. In this regard, Sri Dubey has contended that each assessment year has to be construed separately and the tax payable for one assessment year cannot be made contingent on a claim for refund for a subsequent assessment year. That apart, Sri Dubey, learned counsel for the respondents, by pointing out to the letters enclosed to the writ petition on the basis of which the petitioner contends refund to be due and payable to him, has argued that the said documents do not prove and establish that any refund is due and payable to the petitioner-assessee under the Assam Act. Having noticed the arguments advanced by learned counsel for the respective parties, this court would like to take note of the details pertaining to the assessment of the petitioner under the Income-tax Act in respect of the assessment years in question. A consideration of the assessment orders available on record would go to show that in so far as the assessment years 1989-90, 1990-91 and 1991-92 are concerned, the said assessments had been ....
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....s on consequential assessments that may be required to be made as, in the present case, under the Assam Act. However, as the matter pertains to the sphere of legislative wisdom, the court does not consider it appropriate to dilate any further on the aforesaid aspect of the matter. However, from the narration of facts with regard to the appeal proceedings taken out by the petitioners as against the assessment made under the Central Act, it is clear that as far back as in the year 1998 the assessments of the petitioner for the assessment years 1989-90, 1990-91 and 1991-92 were pending finalisation at the level of the Commissioner of Income-tax (Appeals). For the assessment years 1993-94 and 1994-95 some relief was granted to the petitioner by the first appellate authority against which no appeal has been filed by the Revenue. However, the entitlement of the petitioner to further relief was pending before the learned Tribunal at the instance of the petitioner. This was, again, the position in the year 1999. As already observed, what had happened thereafter and what is the precise position with regard to the assessments of the petitioner under the Central Act as on date has neither bee....