2007 (8) TMI 294

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....e return filed on 27.8.1976 as an invalid return on the ground that it had not been signed in accordance with the provisions of Section 140(c) of the Income Tax Act?" 2. The return of income filed by the Assessee, a limited company, on 27th August, 1976, was signed by its Secretary. 3. On 30^th June, 1977 and 1^st November, 1977, the Income Tax Officer ('the ITO') issued notices under Section 143(1) of the Act but it was not pointed out to the Assessee that in terms of Section 140(c) of the Act, the return ought to have been signed by its Managing Director or one of its Directors in the absence of the Managing Director. It is only during the course of the assessment proceedings that the Income Tax Officer pointed out to the Asssessee ....

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....e is no managing director, by any director thereof:          Provided that where the company is not resident in India, the return may be signed and verified by a person who holds a valid power of attorney from such company to do so, which shall be attached to the return : Provided further that, - (a) Where the company is being wound up, whether under the orders of a court or otherwise, or where any person has been appointed as the receiver of any assets of the company, the return shall be signed and verified by the liquidator referred to in sub-section (1) of section 178; (b) Where the management of the company has been taken over by the Central Government or any State Government unde....

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....ection 140 of the Act in relation to a company.  In response to a notice issued under Section 154 of the Act, the assessee filed a petition stating that the return was filed by a person who was authorised to do so on the basis of a power of attorney given to him. The Kerala High Court took the view that the return suffered from a defect which is to say that there was a fault or an imperfection which could be cured. That being the situation and, the defect having been removed, the filing of a fresh return duly signed by a competent person within the meaning of Section 140 of the Act would relate back to the date of filing of the original return. 9. In the present case, there can hardly be any doubt that a Secretary is otherwise a per....