SATISHCHANDRA ARYA Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) THE material facts giving rise to this petition under Articles 226 and 227 of the Constitution are as follows :

(2.) THE petitioner also averred that similar notice under Section 148 of the Act was issued in the name of the petitioner as a member of the association of persons requiring the petitioner to file the return of his income in respect of which the petitioner was assessable for the said assessment year. Although the petitioner averred that this notice (annex. 'E') was also illegal yet he has stated that this notice is being challenged separately. THE petitioner has not prayed for any relief in this petition in respect of the said notice (annex. 'E') and, therefore, the question of the legality of the said notice does not fall for consideration in this petition.

(3.) IN the present case, the returns filed by the assessee disclosing income below taxable limit were good returns and if assessments were framed on the basis of those returns, the assessments could not have been assailed on the ground that they were based on invalid returns. The respondent seems to have lost sight of the aforesaid decision of the Supreme Court in holding that the returns filed by the assessee-petitioner were invalid and that assessments could not be framed on the basis of those returns. The respondent had, therefore, no jurisdiction to issue a notice under Section 148 of the Act to the petitioner because in the returns already filed there was neither an omission nor a failure on the part of the petitioner nor was there any question of income escaping assessment.