COMMISSIONER OF INCOME TAX Vs. VYSYA BANK LTD

JUDGEMENT

(1.) WRIT petition is directed against the order dt. 11th Dec. , 2000 passed by the Settlement commission functioning under Chapter XIX-A of the IT Act, 1961 (for short 'the Act'), an order which is at an intermediate stage and even during the pendency of the proceedings before the settlement Commission, at the instance of the CIT, Karnataka.

(2.) THE impugned order is according to the petitioner not proper or one which virtually seeks to assume jurisdiction by the Commission when it could not have done so under the statutory provisions, particularly, under Section 245c (1) of the Act and, therefore, the need for the petitioner to test the correctness or otherwise of such an order as an order involving interpretation of the provisions of Section 245c (1) of the Act.

(3.) THE brief facts leading to the petition are that the respondent No. 1--scheduled bank had filed its return for the asst. yrs. 1994-95 to 1999-2000. The assessment orders had been passed by the ao upto the asst. yr. 1997-98 and for the other subsequent years were still pending. In respect of the assessment orders that had been passed, the assessee-bank having not been satisfied and carried the matter in appeals and such appeals pending before the various statutory appellate authorities; the assessee-bank had found it appropriate to invoke the jurisdiction of the settlement Commission under Chapter XIX-A of the Act by making an application for settlement of the cases and it is in the context of such application under Section 245c (1) that controversy had arisen.