VAZIRBUN TRADING CO Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) COUNSEL contends that there is no condition in Section 3(4) of the Income-tax Act, 1961, as it stood during the assessment year 1981-82 that consent of the Income-tax Officer should be sought before effecting change in the previous year, and therefore a request made for such change three years later was required to be acceded to.

(2.) ALL the authorties under the Act as also the Tribunal have held that the Income-tax Officer was justified in declining the request on the ground of long delay. It is not in dispute that the request for the change was only made in the year 1984 though the assessment year for which such change was sought was the year 1981-82. Advance tax for that year had also been paid by treating the full period of 12 months from April 1, 1980, as the previous year for the purpose of assessment. The only reason given for the change sought, which was sought at the time of the assessment was that there was a change in the firm as on May 20, 1980, and, therefore, the period from April 1, 1980 to May 20, 1980, should be allowed to be regarded as a separate previous year,