PROVIDENCE ESTATE Vs. COMMISSIONER OF AGRICULTURAL INCOME TAX

JUDGEMENT

(1.) There are two assessees, namely M/s Providence Estate and M/s Shanthi Estate. Both of Poomulla who are concerned each with regard to asst. yrs. 1978-79, 1979-80, 1980-81 and 1981-82. Separate assessment orders are also available in the print in the nature of Annexures A, A1, A2 and A3 on the one hand and A4, A5, A6 and A7 on the other, respectively in regard to them.

(2.) The question of assessment is under the provisions of Agrl. IT Act, 1950. Sec. 3 is the charging section with reference to each financial year on the total agricultural income of the previous year of every person. Sec. 2(j) tells us that the financial year is to be reckoned as beginning on the first day of April and ending on 31st day of March of the following year. As against this situation with regard to the calculation of taxation of the total agricultural income of the previous year, the assessee has the option to vary the meaning of the expression previous year on the basis of his accounts made up by him. As such, the assessees previous year is from 1st January to 31st December of the year in question.

(3.) Sec. 27 of the Act deals with the procedure in registration of firms. It enacts as follows :