COMMISSIONER OF INCOME TAX Vs. HARIPADA KHATUA

JUDGEMENT

(1.) By this application under Section 256(1) of the Income-tax Act, 1961, the following question has been referred for our opinion :

(2.) The assessee is a partner with a 40 per cent. share in the firm Maha-laxmi Rice Mills, Sabang Road, Bally Chawk, District Midnapore. The business of the firm is rice milling and sale of fertilisers and pesticides. The firm is registered under the provisions of the Income-tax Act, 1961. In the year 1989, a search, under Section 132 of the Act, was conducted at the residence of the assessee and in the course of search total cash amount of Rs. 84,27,126 was found in addition to the gold ornaments. On the basis of the search material, the assessment was reopened and as per reassessment the assessee had to pay Rs. 60,748 and Rs. 36,975 for the assessment years 1987-88 and 1988-89, respectively. But, it is submitted that advance tax paid by the assessee was more than the tax assessed in the regular assessment.

(3.) It is the admitted case of the Revenue that the assessee has paid more tax than the tax assessed as per regular assessment.