COMMISSIONER OF INCOME TAX Vs. SUNDER LAL CHATURBHUJ

JUDGEMENT

(1.) THIS is an income-tax reference made at the instance of CIT under Section 256 (1) of IT Act to this Court in RA No. 147/ind/1998 which arises out of an appellate order of the Tribunal, dt. 21st July, 2003, passed in ITA No. 5 of 2000 to answer following questions of law :

(2.) IN short the case of the assessee as one can notice from the facts stated in the statement of case drawn by the Tribunal is that since the notice of reassessment under Section 148 of IT Act for the asst. yr. 1987-88, was issued to assessee in the status of an individual (GIR B-737) and hence, any assessment made in capacity of HUF, i. e. , the impugned assessment is bad in law, without jurisdiction and non est in law. It is contended that when the notice is issued in the name of individual, no assessment can be made in the case of HUF it being an altogether different entity in the eye of law as against an individual. It is thus contended that this argument was rightly accepted by the Tribunal in favour of assessee for annulling the assessment made on the strength of return filed by assessee on 13th April, 1989.

(3.) HEARD Shri R. L. Jain, learned senior counsel with Ku. V. Mandlik, learned counsel for the applicant/revenue and Shri S. C. Bagadia, learned senior counsel with Shri D. K. Chhabra, learned counsel for the non-applicant/assessee.