CONTROLLER OF ESTATE DUTY Vs. BHOLA DUTT

JUDGEMENT

(1.) SHRI Ram Krishna Pande died on 29th December, 1971. The accountable person did not file a return under the E.D. Act within six months as prescribe

(2.) BY Section 53(3) of the E.D. Act. The Asst. Controller also did not issue any notice to the accountable person requiring him to file the requisite return. The accountable person, however, on his own motion filed the requisite return on 29th January, 1977, i.e., after the expiry of five years from the date of death of the deceased. The Asst. Controller commenced assessment proceedings on that return. During its pendency, the accountable person raised an objection before the Asst. Controller that as the return was filed beyond the period of limitation prescribed BY Section 73A of the E.D. Act, it was a nullity and no assessment proceedings could validly be undertaken on its basis. The objection was rejected and in due course the assessment was completed. This view of the Asst. Controller was upheld on appeal. The accountable person then went up in appeal to the Tribunal. The Tribunal held that the return filed BY the accountable person could not be treated to be a valid return under Section 53(3) of the Act because it was filed beyond the prescribed period of limitation of six months. Since the Asst. Controller had not issued any notice nor had extended the time for filing the return, the same could not be treated to be a return under Section 53(3) of the Act. The Tribunal further held that Sections 56 and 59 of the Act were equally inapplicable. Section 73A categorically lays down the period of limitation for the commencement of assessment proceedings under the E.D. Act. The proceedings in this case commenced on the return voluntarily filed BY the accountable person but beyond the period of five years prescribed BY Section 73A of the Act, hence the same were not maintainable. On this view the assessment order was quashed.

(3.) THIS provision lays down a clear and categorical bar to the commencement of assessment proceedings. They cannot be commenced after the expiry of five years from the date of death of the deceased.