COMMISSIONER OF INCOME TAX (CENTRAL), PATNA Vs. MD.RIZWAN, PROPRIETOR M/S.JAWAID STORES, KHAJEKALAN, PATNA CITY, PATNA

JUDGEMENT

(1.) THE Commissioner of Income -tax aggrieved by the order dated 10th of November, 2003 passed by the Patna Bench of the Income -tax Tribunal, in ITA No. 99(Pat) of 2002 has preferred this appeal under Section 260A of the Income -tax Act. Short facts giving rise to the present appeal are that respondent, Md. Rizwan, (hereinafter referred to as the "assessee") is a dealer in fire crackers. On 31st of October, 1998, he filed his return of income showing a loss of Rs. 1,880/ -.

(2.) THE case was selected for scrutiny and notice under Section 143(2) of the Income -tax Act (hereinafter referred to as the "Act") was served on the assessee and ultimately assessment was made under Section 143(3) of the Act by order dated 26.3.2001 on a total income of Rs. 51,81,173

(3.) ASSESSEE aggrieved by the same, preferred appeal before the Commissioner of Income -tax (Appeal) and the same was dismissed by order dated 17.1.2002. Therefafter, the assessee filed appeal before the Income -tax Appellate Tribunal, (hereinafter referred to as the "Tribunal"). It seems that during the pendency of appeal, search and seizure operation in the residential and godown premises of the assessee was conducted under Section 132(1) of the Act on 29.10.2002. A notice was issued to the assessee under Section 158BC of the Act and he filed the return for the block period 1.4.1996 to 29.10.2002 on 23rd/24th of December, 2002. Assessee brought the aforesaid fact to the notice of the Tribunal and contended that assessment for the assessment year 1998 -99 shall be merged with the assessment of the block period 1.4.1996 to 29.10.2002 of which the Assessment has to be made under Section 158BC of the Act.