Judgment:
D.K. KAPUR. J.
1. We have had these petitions under section 256(2) of the Income-tax Act at some length because, according to the Department, section 154 of the Income-tax Act was not applicable to these cases. The assessed had been assessed under section 144 of the Act but the same was set aside under section 146. The question was whether the assessed was liable to pay advance tax on its own in these circumstances. The provisions of section 212(3), as it stood at the relevant time, required that an assessed who had not been previously assessed had to file an estimate of advance tax and pay tax according to the estimate. The words 'had not been previously assessed' seem to imply a person who has never been assessed before. Even if a person is assessed but his assessment is set aside, he appears to be a person who has been previously assessed. We agree that no question of law arises in these circumstances because the language of the section is not ambiguous. The exact language of the section is as follows :
'(3) Any person who has not previously been assessed by way of regular assessment under this Act or under the Indian Income-tax Act, 192 (XI of 1922), shall, in each financial year, before the date on which the last installment of advance tax is due in his case under sub-section (1) of section 211, if his current income is likely to exceed the amount specified in sub-section(2) of section 208, send to the Income-tax Officer an estimate of - ...'
2. The provision shows that an obligation to file an estimate arises before a person has been regularly assessed and once an assessment is made, the obligation ceases. We do not think that it makes any difference what happens to the assessment. We accordingly find that no question of law arises and if one arises, the answer is self-evident. thereforee, we decline to call for a reference. The parties will bear their own costs.