KUNDAN LAL RATAN LAL JAIN Vs. ASSESSING OFFICER

JUDGEMENT

(1.) THESE four writ petitions by the same assessee are directed against the issue of notices under Section 148 of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), for the assessment years 1989-90,1990-91,1991-92 and 1992-93, respectively. The original assessments for all the years were duly completed under Section 143(3) of the Act in which the assessee had shown substantial amounts of income as agricultural income from land taken on lease. In addition, the assessee had shown a large number of loans from various persons. THESE were accepted in the assessments after some inquiry.

(2.) FURTHER inquiries were pursued during which the land holders are said to have denied having leased out any land to the assessee. A large number of creditors were also examined who denied having lent any money to the petitioner. On the basis of these investigations, the Assessing Officer issued notices under Section 148 of the Act as he had reason to believe that the income chargeable to tax had escaped assessment. It is contended that the matter was investigated during the assessment proceedings and there was no cause for reopening the assessments. It is also contended that the Commissioner's sanction for the issue of notices after the expiry of four years was not taken and, therefore, the notices are barred by time.

(3.) AS regards the question o'f the sanction of the Commissioner and limitation, we find that this contention has no relevance for the assessment year 1992-93 and so far as the other years are concerned the notices issued to the petitioner mention that the notices have been issued after obtaining necessary satisfaction of the Commissioner of Income-tax. Therefore, prima facie, this plea has no substance.