Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1992)42ITD627(Kol.)
..... this appeal by the revenue for the assessment year 1987-88 is directed against the order of the commissioner of income-tax (appeals) deleting interest levied under section 216 of the income-tax act, 1961.2. ..... where, on making the regular assessment, the assessing officer finds that any assessee has-- (a) under section 209a or section 212 under-estimated the advance tax payable by him and thereby reduced the amount payable in either of the first two instalments; or (b) under section 213 wrongly deferred the payment of advance tax on a part of his income, he may direct that the assessee shall pay simple interest at fifteen per cent per annum. ..... by him, send to the income-tax officer an estimate of-- (ii) the advance tax payable by him on the current income calculated in the manner laid down in section 209, and shall pay such amount of advance tax as accords with his estimate on such of the dates applicable in his case under section 211 as have not expired, by instalments which may be revised accordingly to sub-section (5): it is clear from the above sub-section that statement of advance tax as per scheme of the act has to be revised only ..... in other words, an assessee, who has been previously assessed by way of regular assessment, has to pay first two instalments of advance tax on the basis of "current income" computed under section 209 of the act. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1993)44ITD202(Kol.)
..... supra) at pages 137-138 summarising the nature and content of the jurisdiction conferred on the commissioner of income-tax under section 263 of the income-tax act: in our judgment, the expression prejudicial to the interests of the revenue' is not to be construed in a petty-fogging manner, but must be given ..... and prejudicial to the interests of revenue may be summarised as below : (i) there has been no enquiry by the income-tax officer before accepting the assessee's request and the order is therefore erroneous in law; (ii) there was, as a result of the change of the accounting period, no assessment to income tax for the assessment year 1985-86; (iii) t here was post ponement of the tax due under section 140a of the act, by about 18 months in respect of the assessment year 1986-87 as the ..... obtaining under the income-tax act in the present case where there will be no escapement of the income by way of lottery by reason of the change of the previous year and there will be only a reduction and a substantial reduction at that--in the incidence of tax liability, the position under the wealth-tax act, prima facie, would be that there will be a total escapement of wealth as on 31-3-1985 relevant to the assessment year 1985-86 ..... objection based on loss of revenue is the escapement of wealth-tax for the assessment year 1985-86 ..... section meant to get at sheer escapement of revenue which, as is well known, is taken care of by provisions elsewhere in the act such, for instance, as section 147 of the .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1993)44ITD48(Kol.)
..... interest payable by the assessee-company under section 220(2) of the income-tax act. ..... by it as interest on delayed refunds under section 244(1a) of the act for the assessment years 1967-68, 1969-70, 1977-78, 1978-79 & 1979-80 and returned only the net interest of rs. ..... was sought to be included in the total income of the assessee under section 41(1) of the income-tax act, 1961 in that case. ..... shri singh contended that just as the department had to pay interest on delayed refunds due to the assessee, the appellant had to pay interest on delayed payments of tax under section 220(2) and that, therefore, the appellant was entitled to deduct this interest payment against the interest received by it from the department. ..... the departmental authorities disagreed with this submission of the assessee and held that taxability of this amount could not be escaped by merely describing it as a capital receipt and by the fact that the said amount still would be refundable by the assessee to ..... . i do not know the full facts and circumstances relating to the two comparable cases referred to in the assessment order, to find out whether they were cases of such a long-term lease under registered deeds as in ..... the grounds of appeal in which the assessee has raised the plea that the income from sub-letting of leasehold properties should have been taxed under the head 'business' and not under the head 'other sources'.accordingly, this ground is rejected as not pressed.5. ..... rent in the year 1974-75 at rs. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1994)48ITD439(Kol.)
..... in the present case, the cit could not have possibly entertained the view that the assessments completed under section 143(1) were erroneous and prejudicial to the interests of the revenue merely because they were so completed as per the board's instructions.9. ..... we are therefore of the considered opinion that the cit was not justified in taking the view that the assessments made on the appellants under section 143(1) of the act were erroneous and prejudicial to the interests of revenue. ..... , hon'ble justice shah, speaking for the supreme court, cautioned that the legal effect of a transaction cannot be displaced by probing into the 'substance of the transaction' and that the taxing authorities are not entitled, in determining whether a receipt is liable to be taxed, to ignore the legal character of the transaction which is the source of the receipt and to proceed on what they regard as the 'substance' of the matter.bearing these principles in mind, we may take ..... [1976] 103 itr 66, the hon'ble supreme court held that the court has to look to the substance or essence of the document rather than to its form and that a party, cannot escape the consequences of law merely by describing the document in a particular form though in substance it may be a different transaction. ..... zumberlal surajmal gandhi air 1974 bom. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1993)46ITD108(Kol.)
..... however, subsequently the said assessment was set aside by the cit, w.b-viii as per his order dated 4-5-1983 acting under section 263 of the income-tax act, 1961 with directions to assessing officer (ao) to make fresh assessment in accordance with direction given therein. ..... the ground regarding charging of interest under section 217 by the assessing officer though taken in the grounds of appeal was not pressed and argued. ..... 13,67,711 is concerned the assessee's counsel submitted that the same is also not assessable in the assessment year 1980-81 since the assessee did not have absolute right over the award money during the previous year ending 31-3-1980.the said interest submitted by sri bhattacharjee was a casual and non- recurring income and not a regular income to be assessed in the assessment year 1980-81. ..... 13,47,496 being interest at 6 per cent per annum from 16-2-1979 to 16-5-1979 cannot be assessed to tax in the assessment year 1980-81 though the same was received in the previous year ending 31-3-1980. ..... 52,240 being interest received from the bank on the deposit made by the assessee with it holding that the said interest income also was assessable to tax in the previous year ending 31-3-1980 relevant to the year under appeal. ..... cit [1967] 63 itr 458 that the expression "casual" must be construed in its plain and ordinary sense and a receipt of interest which is foreseen and anticipated cannot be regarded as casual even if it is not likely to recur again. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1994)48ITD109(Kol.)
..... reopening of the assessment proceedings for the assessment years 1973-74 and 1974-75 were on the basis of a mere change of opinion on the part of the wto.the assessee had duly shown the value of his interest in the firm m/s.durga trading corporation on the basis of valuation by an approved valuer which was duly accepted when the original assessment was made.there was no basis or material with the wto to hold that the provisions of section 17(1)(a) of the wealth-tax act, 1957 are ..... it may be mentioned and useful to reproduce the reasons for reopening the assessment proceedings under section 17{l)(a) of the wealth-tax act, 1957 recorded by the wto for the two assessment years as below: on perusal of records it appears that the shares of partnership interest of the assessee in the value of house property owned by the firm m/s. ..... the assessing officer also should properly apply his mind to such material and he must draw an inference based on reason, that the wealth has escaped assessment. ..... on going through section 17(1) of the wealth-tax act, 1957, we find that the assessing officer must have "reason to believe that the net wealth chargeable to tax has escaped assessment" etc. ..... the wto, therefore, acted under a genuine belief that in the return of net wealth the assessee had not disclosed the true value of the property which had resulted in escapement of net wealth. ..... there has also to be a nexus between such material and formation: of belief of escapement of wealth. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1994)49ITD412(Kol.)
..... it is contended that the income should have been considered non-taxable under the specific provisions of section 9(1)(v) and should not have been brought to tax under section 9(1)(i) of the income-tax act.2. ..... in the alternative and without prejudice to the above contentions, it was submitted that even if section 9(1)(i) is considered applicable, the interest income did not arise out of any business connection in india and for this submission, the judgments of the madras high court in cit v. ..... act for taxing the interest income of a non-resident, the general provisions of section 9(1)(0 were not applicable. ..... he took the view that the interest was includible in the assessment under the head "other sources". ..... while completing the assessment, it was noticed by the income-tax officer that the assessee had not included the interest income of rs. ..... ito it may be noticed that though the cit(a) took the view that the interest income arose out of the assessee's business connection in india, he confirmed the assessment of the interest under the head 'other sources'.3. ..... accordingly, he brought the same to tax in the assessment. ..... these provisions came into effect from the assessment year 1977-78. ..... this appeal filed by the assessee is directed against the order of the cit(a) dated 19-3-1990 for the assessment year 1977-78. ..... 3,86,734 must be excluded from the assessment. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1994)50ITD118(Kol.)
..... the cit later took proceedings under section 263 of the income-tax act, 1961.according to him, the assessment order was erroneous and prejudicial to the interests of revenue inasmuch as the loss of the dankuni unit as set off against the profits of the taratola unit. ..... the question arose whether this was permissible under section 2(11) of the income-tax act, 1922 which is similar to section 3(3) of the present act. ..... this appeal is directed against the order of commissioner of lncome-tax, dated 19-3-1990 passed under section 263 of the income-tax act, 1961.2. ..... pointing out the difference between the "head of income" and the "source of income" it was held by the high court [at pages 426 to 427] as under : business as such is not treated under the income-tax act as a source of income but it is classified as one of the heads of income enumerated in section 6 of the act. ..... we, therefore, accept the appeal and cancel the order under section 263 of the income-tax act, 1961. ..... in this view of the matter, he came to the conclusion that the income-tax officer was in error in allowing the assessee to make up its accounts in respect of dankuni unit up to 30-9-1984 for the assessment year 1985-86 and thereby permitting the assessee to adjust the loss from the dunkuni unit against the profits of taratola unit. ..... alternatively, on the merits of the assessee's claim under section 3(3) of the act, he argued that the dankuni unit cannot be treated as a separate source of income.6. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1995)52ITD239(Kol.)
..... he was further of the view that under section 77(2) of the income-tax act it was only the association of persons which was entitled to carry forward the business loss and no member of the association of persons was entitled to do so. ..... since the income-tax officer had set off the loss brought forward from the assessment year 1985-86 against the income under the head 'business' for the assessment year 1986-87 which set off was also against the provisions of section 77(2), the assessment for the assessment year 1986-87 also required enhancement. ..... while completing the assessment for the assessment year 1985-86 under section 143(3) read with section 251 on 31-3-1989 the income-tax officer started the computation of the business income from the net loss declared by the assessee in the profit & loss account. ..... in the appeal for the assessment year 1986-87 certain minor disallowances and the levy of interest under section 217 were questioned. ..... in the assessment made on 31-3-1989 under section 143(3) for the assessment year 1986-87 the aforesaid loss was duly set off against the business income assessed for that year.6. ..... was rightly set off by the income-tax officer in the assessment against the assessee's other income. ..... were assessed to tax and, therefore, it was no longer open to the income-tax officer to bring to tax the a.o.ps. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Kolkata
Reported in : (1996)57ITD309(Kol.)
..... the contents of the letter are as under :-- on verification of the return for the assessment year 1985-86 filed by you on 10-9-1985, it is found that the verification portion of the return was not signed by a person required under section 140(c) of the income-tax act, 1961 but by the chairman of the board and chief executive officer. ..... the relevant extract of the recommendations is reproduced below:-- we have examined the adequacy of section 277 of the income-tax act, 1961 which deals with prosecution for false statement in declaration, etc. ..... the legal position has also been given effect to in the income-tax act by the introduction of section 292b by the taxation laws (amendment) act, 1975, with effect from 1-10-1975. ..... indicate that if the return is not signed by such person, it should be the duty of the tax authorities to refuse to proceed with the assessment on the basis of such return since the return has not teen owned up by the officer sought to be made responsible.lt is therefore in the interests of the revenue that the responsibility should be sought to be fixed on the particular person named in section 140(c) and for this purpose the company should be asked to rectify the return by getting ..... similarly, in the case of partnerships, the managing partners escape prosecution if the return is signed by the partner who does not actively participate in managing the business. ..... padmalochan sahu [1974] 95 itr 113 and by the punjab and haryana high court in gian chand vir bhan v. .....
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