STATE OF KARNATAKA Vs. B G DESAI

JUDGEMENT

(1.) Whether an order under Section 21 of the Karnataka Agricultural Income Tax Act, 1957 (the 'Act') is appealable or not is the short question raised for consideration in these Revision Petitions.

(2.) For the year 1969 - 70 and 1970 - 71, the Agricultural Income-tax Officer (A.I.T.O.) concluded assessments under Section 19(4) of the Act in respect of the agricultural income of the respondent who did not respond to any of the notices issued. The respondent-assessee moved the A.I.T.O. with an application under Section 21 of the Act with an affidavit and medical certificate for cancellation of the said assessment orders. In the affidavit in support of that application, he has stated that he was suffering from diabetes and blood pressure since very long time and, therefore, could not attend the office punctually nor able to comply with the terms of notices issued to him. The A.I.T.O. dismissed the application disbelieving the averments of the respondent with an observation that he had no mind to cooperate with the Department and he was given enough time to file return. Consequent on the dismissal of the application under Section 21, the assessments made under Section 19(4) of the Act remain undisturbed. Against the order of the A.I.T.O. dismissing the application under Section 21, the assessee preferred an appeal before the Deputy Commissioner under Section 32 of the Act. The (Deputy Commissioner dismissed the appeal as not maintainable. But he succeeded in his further appeal before the Tribunal. The Tribunal held that the appeal against the order under Section 21 is maintainable. It gave the following reasons :

(3.) The question now to be considered is whether the respondent has a right of appeal against an order under Section 21 of the Act. In order to appreciate the contention, it is necessary to refer to the relevant provisions of the Act. Section 19 provides for assessment of income. Section 19(4) provides for making assessment if any person fails to make a return under sub-section (1) or (2) of Section 18 or fails to comply with all the terms of a notice issued under sub-section (4) of Section 18 or under sub-section (2) thereof. The A.I.T.O. in such events could make an assessment to the best of his judgment and determine the sum payable by the assessee on the basis of such assessment. Section 21 provides procedure for cancellation of assessment made under Section 19(4).