V.A. KAMAT BROS. Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) The assessee's appeal came to be admitted on 7th Oct., 2003 without formulating any substantial questions of law. On 22nd Jan., 2009, this Court directed the assessee to submit these questions and accordingly on 17th Feb., 2009 following two questions have been formulated:

(2.) The facts are not much in dispute. The challenge is to the order of the Tribunal, Panaji Bench, Panaji, dt. 17th March, 2003 whereby the appeal filed by the assessee came to be dismissed and order of CIT(A) against him was maintained. The relevant assessment year is 1994-95. 31st Aug., 1994 was the date by which return for the said year ought to have been filed. The assessee who had paid advance tax of Rs. 8,000 did not file any return. He however on 9th Jan., 1998 voluntarily filed a return for that year. On 8th Aug., 2000 notice under Section 148 of the IT Act, 1961 was then served upon the appellant calling upon him to file his return in the prescribed form. The appellant/assessee did not comply with it and on 6th Sept., 2000 he was served with another notice purporting to be under Section 142 calling for accounts, certain documents and particularly informing him that he was to explain why the assessee firm should not be treated as AOP as he did not furnish return under Section 139(1) or 139(4). The appellate authority in its order dt. 12th July, 2002 has mentioned "that the appellant has given its constructive acceptance to such a treatment which is evident from the facts that notices under Section 143(2) on 6th Sept., 2000 and 27th Nov., 2001 and notice issued under Section 142(1) on 6th Sept., 2000 were responded to by the appellant without taking any objection whatsoever." The assessment officer therefore, vide his order dt. 12th Dec, 2001 passed under Section 147 r/w Section 143(3) determined the total income to be Rs. 1,61,114 and then after deducting the advance tax payment of Rs. 8,000 arrived at tax liability of Rs. 40,671. He then proceeded to add interest under Sections 234A and 234B and thus determined the total tax liability to be Rs. 1,73,809.

(3.) On 2nd Feb., 2002 the assessee approached CIT(A) and his appeal came to be dismissed on 12th July, 2002. Then he approached Tribunal on 7th Oct., 2002 and Tribunal dismissed his appeal on 17th July, 2002.