1985 (1) TMI 3

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....er section 256(2) of the Income-tax Act, 1961, praying that the Income-tax Tribunal be directed to make a statement of the case and refer the following question of law in addition to one question already referred by him : " Whether, on the facts and in the circumstances of the case, the learned Income-tax Officer was competent to issue notice under section 147(a) before the expiry of the period p....

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....on ground between the parties that no return of income was filed by the assessee prior to the issue of the notice under section 148 of the Act by the Income-tax Officer. There was thus omission and failure on the part of the assessee to make a return of his total income on account of which income chargeable to tax had escaped assessment for that year. That being so, the Income-tax Officer was with....

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.... even if the assessee had filed the return of his income, if the Income-tax Officer in consequence of information in his possession had reason to believe that income chargeable to tax had escaped assessment, he is empowered to invoke the jurisdiction under clause (b). From the language of clause (b), it is apparent that the jurisdiction under section 147(b) can be invoked by the Income-tax Officer....

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....), it was necessary for the Income-tax Officer to hold that he had reason to believe that by reason of the omission or failure on the part of the assessee to make a return under section 139 for any assessment year to the Income-tax Officer, income chargeable to tax had escaped assessment for that year. In our view, no return at all has been filed by the assessee and a notice was given by the Incom....