COMMISSIONER OF INCOME TAX Vs. VIJAY DAL MILLS

JUDGEMENT

(1.) THE Income-tax Appellate Tribunal, Indore Bench, Indore, has on an application by the applicant-Department made under Section 256(1) of the Income-tax Act, 1961 (for short "the Act"), stated the case and referred the following questions said to be of law for the opinion of this court, arising out of its order dated March 20, 1990, passed in I. T.A. No. 375/Ind of 1985 relating to the assessment year 1979-80 ;

(2.) WHETHER, on the facts and in the circumstances of the case, the Tribunal was right in holding that in view of Clause (b) of Sub-section (1) of Section 251 of the Income-tax Act, the penalty order could not be remanded to the Income-tax Officer for curing the defect of not obtaining the previous approval of the Inspecting Assistant Commissioner ?"

(3.) WE have heard Shri D.D. Vyas, learned counsel for the applicant/ Department, and Shri G.M. Chaphekar, learned senior counsel for the non-applicant/assessee.