SANTOSH PRASAD Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE petitioner-Nalanda X'ray and Scan Research Centre of C. W. J. C. No. 12106 of 2002 is a partnership firm and Dr. S. N. Prasad (petitioner of C W. J. C. No. 12842 of 2002) and his wife Dr. (Mrs.) Santosh Prasad (petitioner of C. W. J. C. No. 12105 of 2002) are partners of the said firm. THE points involved in all the three cases being the same, they have been heard together finally at the stage of admission and are being disposed of by a common order.

(2.) THE admitted fact is that the respondent-income-tax authorities conducted a search and seizure operation on the premises of Nalanda X'ray and Scan Research Centre, Patna, as well as the residence of Dr. S. N. Prasad, and his wife, Dr. (Mrs.) Santosh Prasad, on April 10, 1994. During the course of search, cash, gold ornaments, chemicals and other documents were seized in the joint names of Dr. S. N. Prasad, and his wife, Dr. (Mrs.) Santosh Prasad. THEy approached the Settlement Commission for settlement of the cases for the assessment years 1987-88 to 1995-96 under Section 245C of the Income-tax Act (for short "the Act") and the Settlement Commission (IT and WT), Additional Bench, Calcutta, vide its order dated January 21, 1998, annexed as annexure 1 in all the writ applications, determined the total income and tax liability and directed the Assessing Officer (for short "the A. O.") to verify the correctness of the calculation of tax on total income and to charge interest as per the direction contained in that order. THEreafter, the Assessing Officer informed the Settlement Commission by letter dated December 12, 1998, about the tax payable by the petitioners, details whereof are given in annexure 2 to all the writ applications. It appears that the Department moved the Settlement Commission under Section 154 of the Act for rectification of the interest under Section 243B of the Act determined by the Settlement Commission, which was dismissed on March 26, 2002. On July 10, 2002, the Assessing Officer sent a communication to all the three petitioners separately asking them to furnish evidence in regard to the payment of tax along with the interest payable thereupon within seven days of the receipt of the letter in accordance with the direction of the Settlement Commission dated March 12, 1998. THEreafter, the petitioners furnished the details regarding payment of tax. Not being satisfied with the assertion made on behalf of the petitioners, the Assessing Officer sent demand notices with regard to the aforesaid years directing them to make the payment within the time specified therein and furnish evidence in support of the same. THE aforesaid demand notices were sent along with the letters dated August 12, 2002, in the case of Nalanda X'ray and Scan Research Centre and August 27, 2002, in the other cases, copies of which have been appended as annexure "7" series in all the three cases.

(3.) IN the result, all the three writ applications are dismissed with the aforesaid observation.