VISHNU BOREWELL Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) IN this application under Articles 226 and 227 of the Constitution of INdia the petitioner seeks quashing of the notice dated August 31, 1999, issued under Section 148 of the INcome-tax Act, 1961, at annexures 1 and 1/A requiring it to file return in the prescribed form for the assessment years 1997-98 and 1998-99 for the purpose of reassessment of the income as the income chargeable to tax for the aforesaid assessment years has escaped assessment within the meaning of Section 147 of the said Act.

(2.) BRIEFLY stated the case of the petitioner is that it is a partnership firm constituted by a deed dated March 31, 1995, comprising of N. Venugopal, his two sons V. Kanan and V. Prasanna and his niece E. Puspa--to carry on the business for execution of the contract works. V. Venugopal, one of the partners, was alone assessed to income-tax up to the assessment year 1994-95 in the status of an individual. The other partners had not been assessed as their income fell below the taxable limit. On August 23, 1999, the petitioner's resi-dence-cum-business premises were invaded and the Income-tax Officer seized some books of account. On the next day, he recorded the statement on oath from N. Venugopal. While the matter stood thus, the petitioner was suddenly served with the impugned notices purported to be one under Section 148 of the Act. According to the petitioner, one of the pre-conditions of reopening of an assessment is the recording of reasons and there being no such recording, the impugned notices are invalid and without jurisdiction.