CIT Vs. MAHESH GUM AND OIL INDUSTRIES

JUDGEMENT

(1.) This appeal is directed against the order of the Income Tax Appellate Tribunal, Jodhpur Bench, Jodhpur, dated 15-9-2004. The following two questions are suggested as substantial questions of law for consideration in this appeal:

(2.) The respondent-firm was dissolved on November 4, 1983, and in response to a notice for the assessment year 1989-90 under Section 148 a return was filed at nil income. The assessee has objected to assumption of jurisdiction by the assessing officer under Section 147/148 and has also asked for reasons before issuing notice under Section 148. The submission of the assessee was that assumption of jurisdiction itself was not sustainable. The assessment order was made against the respondent considering it to be an unregistered firm and a penalty proceeding under Section 271(1)(c) was also initiated.

(3.) On appeal, the Commissioner (Appeals) vide his order dated 21-9-1988, upheld the objection of the assessee that the initiation of proceedings under Section 148 was without jurisdiction and the proceedings were quashed. The said order was affirmed by the Tribunal by the order under appeal.