LALA RAJESHWAR PERSHAD Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE facts out of which this petition under Article 226 of the Constitution of India has arisen are not in dispute and may be briefly stated thus.

(2.) THE petitioner Rajeshwar Parshad was assessed for the year 1948-49 to pay Rs. 8.947/-as income-tax by order dated 28-6-1949. This amount was paid in due course. THE Income-tax Officer, however, made a supplementary assessment on 24-3-1953 under Section 34, Income-tax Act, and raised the amount by an additional demand of Rs. 4,60,545/9/- and ordered the tax-payer to pay this amount by 30-3-1953. On petitioner's application the Income-tax Officer allowed him time for payment till 31-7-1953. THE petitioner feeling aggrieved against this order applied to the Inspecting Assistant Commissioner, Patiala, for stay of collection of the assessed amount till the decision of his appeal and he was permitted to pay the amount in monthly instalments of Rs. 1,00,000/- each starting from 15-9-1953 by order dated the 28-8-1953. THE petitioner then moved Shri P. K. Sen Gupta, the then Income-tax Commissioner, who after hearing both sides passed a detailed order on 14-10-1953. THE operative portion of the order reads:

(3.) IT was then contended by Mr. Sikri that it was open to the Commissioner or his successor to review or modify the 1953 order in view of the subsequent conduct of the petitioner. The learned counsel conceded that the Income-tax Act does not specifically provide for review or amendment of certain order, but he relied on inherent jurisdiction which, according to him, vests in every authority when the Act does not provide any right of appeal or revision against the decision of certain authorities to the aggrieved party.