COMMISSIONER OF INCOME TAX Vs. PANDA AND COMPANY

JUDGEMENT

(1.) BEING moved by the revenue, the Income-tax Appellate Tribunal, Cuttack Bench, has stated this case and referred the following question for opinion of the court :

(2.) ASSESSES is a partnership firm. The year of assessment is 1968-69, previous year having ended on March 31, 1968. The firm was constituted under an instrument, dated 29th of March, 1967, and had 10 partners. For the assessment year 1967-68 registration had been extended to the firm. On January 23, 1968, one of the partners died and upon his death his widow was admitted as a partner and a fresh partnership deed was made on 30th of March, 1968. For the assessment year 1968-69, the assessee filed a declaration in Form No. 12 under Section 184(7) of the Act which was signed by the nine old partners and the widow. The ITO granted renewal of registration while making the assessment. The CIT initiated a suo motu revision under Section 263 and holding that the grant of renewal was prejudicial to the interests of the revenue vacated the grant of renewal of registration and directed consequential actions to be taken.