COMMISSIONER OF INCOME TAX Vs. RAJBIR SINGH HUF

JUDGEMENT

(1.) THE Commissioner of Income-tax, Amritsar, has filed this petition under Section 256(2) of the Income-tax Act, 1961, (hereinafter referred to as "the Act"), for issuance of a mandamus directing the Income-tax Appellate Tribunal, Amritsar (hereinafter referred to as the Tribunal), to refer the following two questions of law along with the statement of the case to this court for its opinion, which arise from ITA No. 349/ASR of 1991 decided by the Tribunal on February 28, 1993, pertaining to the assessment year 1976-77.

(2.) THE assessee filed his return, in the status of a Hindu undivided family on June 16, 1982. THE said return was treated as non est by the Income-tax Officer. On March 18, 1985, notice under Section 147/148 was issued to the assessee on the ground that certain income had escaped assessment, this notice Was served on the assessee on the same date. THE status of the assessee, Whether a Hindu undivided family or individual, was not mentioned in the notice. THE assessee did not file his return either in the status of a Hindu undivided family or as an individual. THEreafter, notice was issued under Section 142(1) of the Act requiring the assessee to produce the account books and other information which remained unresponded. Ultimately on January 21, 1988, counsel for the assessee wrote a letter asking the Income-tax Officer to treat the return filed on June 16, 1982, as the return filed in response to the notice under Section 148. In the order sheet dated February 4, 1988, this fact was recorded, which reads as under :

(3.) AFTER going through the order of the Tribunal, we are of the opinion that in the facts and circumstances of the case, the Tribunal erred in declining to refer the questions claimed by the Revenue to this court for its opinion. Instead of two questions claimed by the Revenue, we reframe one consolidated question of law covering the subject-matter of the controversy to the following effect :