COMMISSIONER OF INCOME TAX Vs. NAYAN ENGINEERING WORKS

JUDGEMENT

(1.) THE assessment year with which we are concerned is 1963-64. 34 years have gone by. THE Tribunal made its order in the year 1981. 17 years have lapsed since then. THE Revenue has collected tax from each of the two individuals in respect of half share of the income derived from the business carried on by them in the name of Nayan Engineering Works. Long after that relevant assessment year, proceedings were initiated to assess the association of persons. THE Tribunal has held that to be unwarranted and has set aside the orders made by the authorities below.

(2.) AT the instance of the Revenue two questions have been referred to us. The first is as to whether the Tribunal's order is justified in law and the other is as to whether the assessment made on the other person, Seetha-lakshmi, had become final is justified and reasonable. Taking the second question first, the Tribunal has observed that the said Seethalakshmi has been assessed by the 13th Income-tax Officer, E-Ward, Bombay, who had also intimated such assessment to the Income-tax Officer at Coimbatore, who has made assessments impugned before the Tribunal. That fact is not disputed before us. The findings by the Tribunal that the assessment must have become final is fully justified and is reasonable. The second question is answered against the Revenue.