ANGAD BAI Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference under Section 256(1) of the Income-tax Act, 1961, at the instance of the assessee to answer the following questions :

(2.) THE material facts are these : THE relevant assessment year for the asses-see is 1975-76 ending on March 31, 1976. According to the relevant statutory provisions, the assessment had to be completed within a period of two years from the end of the assessment year and exclusion of the period of 180 days had to be made in computing this limitation of two years in accordance with Section 153(1)(a), Explanation 1(iv), read with Section 144B of the Income-tax Act, 1961. According to this calculation, the assessment had to be completed by passing such an order before September 29, 1978. THE assessment order in the present case was passed on September 6, 1978. THE Tribunal has, therefore, taken the view that the assessment order was validly made on September 6, 1978, within the prescribed period of limitation. Aggrieved by this conclusion, the assessee sought a reference which has been made to answer the above quoted questions of law.

(3.) CONSEQUENTLY, the reference is answered against the assessee and in favour of the Revenue as under ;