NAVEEN MEENA JAIN Vs. COMMISSIONER OF INCOME-TAX

JUDGEMENT

(1.) THE petitioner has challenged the notice dated February 27, 2009, under this writ petition by saying that the notice under Section 147 of the Income -tax Act, 1961 (in short 'the Act'), has been issued beyond the maximum period of six years fixed under Section 149(b) of the Act, therefore, the notice is ex facie bad in law. According to him, the notice has been issued for the assessment year 2002 -03.

(2.) UPON calculation of the period, we find that by March 31, 2009, the six year period cannot be said to be elapsed.

(3.) SRI Dhananjay Awasthi, learned Counsel appearing for the Revenue, submitted that the Supreme Court in the case of GKN Driveshafts (India) Ltd. v. HO [2003] 259 ITR 19, held as Mows (page 20): We see no justifiable reason to interfere with the order under challenge. However, we clarify that when a notice under Section 148 of the Income -tax Act is issued, the proper course of action for the noticee is to file a return and if he so desires, to seek reasons for issuing notices. The Assessing Officer is bound to furnish reasons within a reasonable time. On receipt of reasons, the noticee is entitled to file objections to issuance of notice and the Assessing Officer is bound to dispose of the same by passing a speaking order. In the instant case, as the reasons have been disclosed in these proceedings, the Assessing Officer has to dispose of the objections, if filed, by passing a speaking order, before proceeding with the assessment in respect of the abovesaid five assessment years. In so far as the appeals filed against the order of assessment before the Commissioner (Appeals), we direct the appellate authority to dispose of the same, expeditiously. With the above observations, the civil appeals are dismissed.