INTARCRAFT INDIA Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE assessee has sought a reference of three questions under S. 256(1) of the IT Act, 1961. The questions are as follows :

(2.) THE circumstances are that the ITO had made an assessment order after a revised return had been filed before him during the course of hearing. It appears that a notice was issued under s. 143(2) of the IT Act, 1961, in respect of the original return, but in the course of hearing, a revised return was filed qua which no notice under S. 143(2) was issued separately. The original return dated October 15, 1975, was for an income of Rs. 4,93,079, but the revised return filed on February 23, 1977, showed a total income of Rs. 3,44,196. The income assessed by the ITO was Rs. 5,85,573.

(3.) ON appeal to the AAC, a number of questions were urged regarding the quantification of items like initial depreciation and weighted deductions under S. 35B and the AAC was of the view that the assessment should be set aside and ade novo assessment be made after giving a fresh opportunity of hearing.