1998 (2) TMI 91

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....sessee. He had filed an income-tax return for the assessment year 1985-86 on December 24, 1985, declaring a total of income of Rs. 54,730. Later there was a search under section 132 of the Income-tax Act (for short "the Act") in his residence and business premises on June 29, 1987. According to the Department, the documents and materials seized showed that he had suppressed an income of Rs. 3,50,7....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... of the Assessing Officer to enable the assessee to approach the Settlement Commission for settlement of the outstanding disputes, without prejudice to the right of either party to revive the appeal in case the petition for settlement is rejected by the Settlement Commission. The order imposing the penalty has also been set aside. In the meantime, the Assistant Commissioner of Income-tax has fi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... justification for continuing the prosecution proceedings. It is submitted that in case the settlement of disputes goes against the petitioner, the Department can file a fresh complaint on the basis of reassessment proceedings and the present criminal prosecution will not lie. The prayer is opposed by learned counsel appearing for the Department who submits that if at all it is a matter for keepin....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the Act is based on the quantum of evasion also. It is to be noted that the return in this case had been filed as early as on December 24, 1985, and the petitioner's premises were searched on June 29, 1987. The first assessment order finding evasion of tax and suppression of income in the return had been passed on March 15, 1988, but no complaint was filed at that stage. The complaint had been fil....