DEEPAK KUMAR Vs. ASSISTANT COMMISSIONER OF INCOME-TAX

JUDGEMENT

(1.) IN this petition, challenge is only to the action of the respondents in retaining the books of account of the petitioner (assessee) under the provisions of the Income-tax Act. According to the assessee, i. e. , the petitioner, the books of account seized as contemplated under Section 131 (3) read with Section 133a of the Act on March 12, 1999, should be returned to the petitioner. It is contended that the retention of books of account by the taxing authorities is in contravention of Section 131 (3) and hence, mandamus be issued against the respondents directing them to return the books of account to the petitioner as specified in annexure P-1 (page 11 of file ).

(2.) IN reply, reliance is placed on the proviso to Section 131 (3) of the Act and the approval granted by the specified authority for retention of the documents. The copies of the approval obtained by the Assessing Officer are filed along with the return--the last being (annexure R-4) dated June 16, 2004, granting approval to retain the books of account up to June 30, 2005. It is stated in all these approvals that assessment proceedings for the years 1994-95, 1995-96 and 1999-2000 are pending and hence, the books of accounts are needed. This in substance is the reply.

(3.) HEARD Shri G. M. Chafekar, learned senior counsel with Shri Sarda, learned Counsel for the petitioner, and Shri A. P. Patankar, learned Counsel for the respondents.