COMMISSIONER OF INCOME TAX Vs. BIBI ZAIBUNNISA

JUDGEMENT

(1.) THIS is a reference under Section 256(2) of the Income-tax Act, 1961 (hereinafter to be referred to as "the Act"), which relates to the assessment year 1972-73. The questions referred to us for our opinion are as follows :

(2.) THE assessee was assessed in terms of a scheme brought out by the Central Board of Direct Taxes. THE scheme launched by the Government was meant to help new taxpayers under the small income group. In regard to ladies and minors, however, it had been directed in the scheme that the assessment was to be made in terms of Section 143 of the Act. THE assessee was assessed in a summary manner by the Income-tax Officer in terms of the scheme. Later, the Commissioner of Income-tax cancelled the assessment order in terms of Section 263(1) of the Act. THE assessee moved the Income-tax Appellate Tribunal against the cancellation order passed by the Commissioner of Income-tax. THE Tribunal set aside the order of the Commissioner holding that the Commissioner had no jurisdiction to act in terms of Section 263(1) of the Act on the facts and in the circumstances of that case. Similar questions fell for consideration before us in several references. THE law laid down by this court in this behalf is to be found in the case of CIT v. Pushpa Devi [1987] 164 ITR 639, CIT v. Rambha Devi [1987] 164 ITR 658 and CIT v. Smt. Pushpa Devi [1988] 173 ITR 445. In circumstances similar to those of the present case, we have held that the Commissioner Income-tax was fully justified in acting in terms of Section 263(1) of the Act. THE present case also stands on the same footing.