ASSAM COMPANY LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) This batch of petitions register a challenge to the notices issued under Section 148 of the Income Tax Act, 1961 (hereafter referred to as the Act) purportedly initiating a proceeding/action under Section 147 thereof on the ground that the income of the assesses/ writ petitioners as computed therein had escaped assessment for the different assessment years mentioned therein. The notices though are differently dated and relatable to varying assessment years, a substantial homogeneity in the contextual background being evident and common questions of law having been raised, the petitions deserve to be disposed of by this common judgment and order.

(2.) I have heard Mr. RP Agrawala, Sr. Advocate assisted by Mr. RL. Jain, advocate, for the petitioners in WP(C) 1163/03, WP(C) 1258/03 WP(C) 1259/03, WP(C) 1260/03 and WP(C) 6630/03 and Mr. GK Joshi, Sr. Advocate assisted by Mr. RK Joshi and Ms U Chakrabarty, advocates for the petitioner in WP(C) 4102/03, WP(C) 4103/ 03 and WP(C) 4111/03. Mr. U. Bhuyan, learned Standing Counsel, Income Tax Department represented the Revenue.

(3.) The pleaded facts in WP(C) 1163/03 would be adequately illustrative of the factual premises. The petitioner Company is engaged in the business of cultivation, manufacture and sale of tea and is regularly assessed under the Act. It submitted its return for the assessment year 1995-96 on 29.11.95 and paid all the taxes due as per the return. It submitted along with its return, all relevant documents such as computation of income, audited statements of accounts, tax audit report etc. The jurisdic- tional assessing Officer on completion of the assessment for the year in question determined the total taxable income at Rs. 3,45,05,704/-, which was subsequently revised. The petitioner/assessee dulypaid all taxes as assessed. It was thereafter that the impugned notice dated 27.3.2002 by the Assistant Commissioner of Income Tax (Circle 2), Dibrugarh, was issued notifying the petitioner that the said authority had reason to believe that its income chargeable to tax for the assessment year in question had escaped assessment within the mealing of Section 147 of the Act requiring reassessment of its income for the said assessment year. In reply thereto the petitioner while requesting the authority to treat its original return to be the one submitted in compliance of the notice sought for a copy of the reasons required to be recorded under Section. 148(2) of the Act for issuance of such reassessment notice. By communication dated 17.4.2002, the respondent No. 3 furnished the reasons in reply whereto the petitioner submitted a representation detailing its stand in response to the notice with a request to drop the reassessment proceedings. As the revenue persisted with the proceedings inspite of the objection raised, the instant petition was filed seeking to invoke the writ jurisdiction of this Court.