INCOME TAX OFFICER Vs. RAM NIVAS GUPTA

JUDGEMENT

(1.) THE sole respondent herein is an assessee in his individual capacity, and Kartha of the Hindu Undivided Family (H.U.F.), which is also assessed to income tax. For the assessment year 1989 -90, the individual as well as the H.U.F., assessments were processed and orders under Section 143 (3) of the Income Tax Act (for short the Act) were passed on 20.03.1992 and 26.03.1992 respectively. It is necessary to note that reference number of H.U.F. is R -201 and that of the respondent in his individual capacity, is R -760.

(2.) THE Assessing Officer issued a notice, dated 16.09.1994, in exercise of power under Section 148 of the Act with the approval of the Deputy Commissioner proposing to reopen the assessment of the H.U.F. However, the notice was issued to the respondent. In compliance with the notice, the respondent appeared before the Assessing Officer. He raised an objection to the very reopening of the assessment stating that there was no valid basis therefor. He has also stated that the proposal to reopen the assessment was in relation to a building, which, in turn, was assessed to the H.U.F. The Assessing Officer passed an order, dated 26.03.1997, levying tax of Rs.2,28,960/ - and interest of Rs.3,83,015/ - under Sections 234B and 234C of the Act. Aggrieved by that order, the respondent carried the matter in appeal before the Commissioner (Appeals). The Commissioner allowed the appeal through order, dated 03.09.1997. Feeling aggrieved by that order, the Revenue filed I.T.T.A.No.53/Hyd/1998 before the Hyderabad Bench B of the Income Tax Appellate Tribunal. The appeal was dismissed through order, dated 04.09.2002. Hence, this further appeal under Section 260A of the Act.

(3.) HEARD Sri S.R.Ashok, learned Senior Standing Counsel for the appellant and Sri A.V.Krishna Koundinya, learned counsel for the respondent.