VENKATADRI TRADERS LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE petitioner, who is the assessee, is aggrieved by the order of the Commissioner declining to exercise revisional jurisdiction under Section 264 of the Income-tax Act, 1961, in respect of the order of assessment made against the assessee for the assessment year 1991-92, and by the order of the Commissioner declining to condone the delay in filing the revision petition against the order of assessment made for the assessment year 1995-96.

(2.) SO far as the assessment year 1991-92 is concerned, the order of the Commissioner is in accordance with the law declared by this court in the case of Reiter Machine Works Ltd. v. CIT [1999] 240 ITR 531, wherein, it has been held that under Section 264 of the Act, revisional jurisdiction cannot be exercised if an appeal had been preferred against the order sought to be revised. It was so held having regard to the language of the section which places an embargo on the power of the Commissioner to revise an order "where the order has been made the subject of an appeal to the Commissioner of Income-tax (Appeals) or to the Appellate Tribunal". In this case, admittedly, the assessment order for the assessment year 1991-92 had been made the subject-matter of an appeal which had been preferred before the appellate authority. The Commissioner, therefore, has rightly declined to exercise the revisional jurisdiction with regard to that assessment year.