Court : Gujarat
Reported in : (1996)134CTR(Guj)388; [1996]221ITR155(Guj)
..... the circumstances of the case the commissioner was not justified in law in holding that the assessing officer concerned had not at all examined goodwill account and made no inquiry at the time of passing an assessment order and hence his order was erroneous and prejudicial to the interests of the revenue within the meaning of section 263.held :the relevant period is the assessment year 1974-75. ..... the aforesaid reasoning, the cit further concluded that it is in this context that the ito's order of assessment is certainly erroneous in so far as prejudicial to the interests of revenue which has suffered on account of ito's omission to examine and visualise the tax implications of the creation of goodwill account and the business ultimately having been transferred in subsequent years ..... the conclusion of the tribunal in affirming the decision of the commissioner that the order of the assessing officer for the assesment year 1974-75 was erroneous for want of making enquiry, and is otherwise prejudicial to the interests of the revenue is not well-founded in law.application :also to current assessment though not in relation to controversy as to changing of self generated goodwill, to capital gains tax.a. y. ..... , 1977 is erroneous and is prejudicial to the interests of the revenue on the following grounds : '(i) that the ito has failed to tax the so called goodwill amounting ..... :1974-75income tax act 1961 s.263 revision under ..... :1974-75income tax act 1961 s.263income tax act 1961 s.45 rajesh balia .....
Tag this Judgment!Court : Chennai
Reported in : (1996)135CTR(Mad)176; [1996]220ITR657(Mad)
..... :on failure of assessing officer to make enquiry as expected, commissioner was justified in invoking provisions of section 263 because order passed as such by the assessing officer was erroneous as well as prejudicial to the interest of revenue.held :in the order passed by the tribunal, it was shown that the commissioner came to the conclusion that the order passed by the assessing officer is erroneous and prejudicial to the interests of the revenue because, the assessing officer has not conducted enquiry with regard to the sale consideration ..... :1974-75 & 1975-76income tax act 1961 s.263 revision ..... the act for the purpose of coming to the conclusion that the order passed by the ito is erroneous and prejudicial to the interests of the revenue. ..... the act, the cit can come to the conclusion that the order passed by the ito is erroneous and prejudicial to the interests of the revenue. ..... the act for the purpose of coming to the conclusion that the order passed by the ito was erroneous and prejudicial to the interests of the revenue. ..... ; (d) an explanation cannot in any way interfere with or change the enactment or any part thereof but where some gap is left which is relevant for the purpose of the explanation, in order to suppress the mischief and advance the object of the act it can help or assist the court in interpreting the true purport and intendment of the enactment; and e) it cannot, however, take away a statutory right with which any person under a ..... :1974-75 & 1975-76income tax act 1961 .....
Tag this Judgment!Court : Kerala
Reported in : [1983]142ITR332(Ker)
..... to the firm for the year 1973-74 and the order granting continuance of registration for the assessment year 1974-75, were erroneous and that the said orders were prejudicial to the interests of revenue. ..... payment of salary to a partner is prohibited by section 13 of the partnership act, it would not effect a change in the sharing of the profits, unless there is evidence to show that the salary has been given as a camouflage for giving a larger share of profits to the partners to whom the salary has been paid......thus, the weight of authorities is in favour of the view that mere payment of salary or interest to the partners in the absence of any such ..... as contended by the counsel for the revenue, where the ito has purported to exercise the powers in accordance with section 186 of the act similar to rule 6b of the rules under the 1922 act, which fell for consideration in y. ..... it is the case of the department that the partnership deed relates only to the business mentioned therein, then all that the income-tax officer should have done is to register that partnership deed in respect of the business mentioned in it and treat the other business ..... : [1964]53itr204(sc) :'a combined effect of section 26a of the act and the rules made thereunder is that if the application made by a firm gives the necessary particulars prescribed by the rules, the income-tax officer cannot reject it, if there is a firm in existence ..... act initiated suo motu revision proceedings for both the years 1973-74 and 1974 .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Mumbai
Reported in : (1983)6ITD332(Mum.)
..... chinai, huf, are directed against the consolidated order under section 25(2) of the wealth-tax act, 1957 ('the act'), passed by the commissioner, in the assessee's case for the assessment years 1970-71 to 1974-75 (both inclusive). ..... this argument is untenable for the simple reason that the revisional powers of the commissioner, which are intended to remedy the orders of his subordinates which are erroneous insofar as they are prejudicial to the interests of revenue, are wide and entitle him to 'pass such order thereon as the circumstances of the case justify, including an order enhancing or modifying the assessment or cancelling it and directing a fresh assessment'.7. ..... that in this sense also the assessment orders are erroneous insofar as they are prejudicial to the interests of the revenue.3.3 the commissioner derived support for these conclusions from the following decisions of the supreme court : the commissioner, accordingly,.set aside the assessment orders, for the assessment years 1970-71 to 1974-75 (both inclusive), in the assessee's case with direction to the wto to make fresh assessments for the same assessment years, according to law and after giving ..... as the assessment made without proper jurisdiction was liable to be challenged by the assessee as not valid in law, in this sense it was prejudicial to the interests of the revenue and was, therefore, liable to be revised.1. .....
Tag this Judgment!Court : Kerala
Reported in : [1993]202ITR997(Ker)
..... the commissioner's action was challenged in appeal to the tribunal with the plea that, when the income-tax officer did not levy the interest in the order of assessment, he must be deemed to have waived it in exercise of his powers under rule 40 and, therefore, there was no order prejudicial to the revenue liable to be revised under section 263. ..... the question referred for the opinion of this court, under section 256(1) of the income-tax act, 1961 (for short, 'the act'), at the instance of the revenue, reads as follows :'whether, on the facts and in the circumstances of the case, thetribunal is right in law in holding that the order of the income-tax officerunder section 215 of the income-tax act, 1961, is invalid and withoutcompetence ?' .2. ..... : [1974]97itr466(ker) , as having held impliedly that a separate order charging interest could not be passed. ..... : [1974]97itr466(ker) , on which the assessee placed considerable reliance, was as to whether the omission to levy interest under section 215 in the order of assessment could be presumed to be waiver of the interest by virtue of the powers vested in the income-tax officer under rule 40. ..... 's case : [1986]160itr961(sc) , in which this particular question was not in issue, nor on the ratio of cochin-malabar estates' case : [1974]97itr466(ker) , as a logical inference therefrom. .....
Tag this Judgment!Court : Punjab and Haryana
Reported in : (1980)18CTR(P& H)84; [1983]139ITR182(P& H)
..... however, in a given case, if the commissioner clearly notices the material from which it can reasonably be inferred that the order of the ito was prejudicial to the interests of the revenue but fails to record an express finding, then it could not be said that there was no material on the record to justify the initiation of proceedings under section 263(1 of the act.6. ..... commissioner of income-tax merely because he had failed to record an express find-ing that the order of the income-tax officer, admittedly erroneous, was prejudicial to the interests of the revenue '2. ..... in this view of the matter, we hold that the income-tax officer's order is not shown to be prejudicial to the interests of the revenue.'7. ..... while it was not able to satisfy the ito by producing cogent evidence, the assessee filed a revised return on march 29, 1972, showing an income of rs. ..... the tribunal, by order dated september 19, 1974, allowed the appeal and set aside the order of the learned additional commissioner, on the ground that it was not found thatthe assessment order was prejudicial to the interests of the revenue. ..... it will be useful to reproduce the exact words of the tribunal in this regard :' we agree that the income-tax officer's order of assessment was erroneous by reason of the aforesaid omission, but it was necessary for the learned additional commissioner of income-tax to give a finding that the assessment order was prejudicial to the interests of the revenue. .....
Tag this Judgment!Court : Mumbai
Reported in : (1994)120CTR(Bom)254; [1994]208ITR573(Bom)
..... of the assessee being satisfied that the order of the income-tax officer was erroneous, initiated proceedings for suo motu revision of the orders of assessment for the assessment years 1975-76 and 1976-77 under section 263 of the income-tax act and on hearing the parties, held that the orders of the income-tax officer for the above assessment years were erroneous and prejudicial to the interests of the revenue since the income-tax officer had failed to bring to assessment ..... the assessment of the partners of the dissolved firm which was the position under section 44 of the indian income-tax act, 1922, prior to its amendment in the year 1958 and which is the position even today under section 159 of the 1961 act in respect of the assessment of the legal representative of a deceased assessee. ..... submitted by the assessee that it received the above amount in full from shri yogendra desai in the financial year 1974-75 and financial year 1975-76 as under : financial year 1974-75 :rs.16-9-1974 1,00,00016-9-1974 2,10,000------------3,10,000------------financial year 1975-76 :rs.11-4-1975 5,30,00011-4-1975 1,00,00017-7-1975 50,00030-9-1975 1,00,00010-11-1975 1,50,00019-11-1975 ..... a tripartite agreement dated august 19, 1974, between the central bank trustee ..... , august 19, 1974, with the promoters of the co-operative housing society of the reserve bank of india as per which, property admeasuring 9,548 square yards was agreed to be sold ..... -firm from shri desai as per agreement dated august 19, 1974. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Indore
Reported in : (1998)64ITD209Indore
..... the cit exercised his revisional jurisdiction under section 19 of the interest-tax act, and set aside the order of the assessing officer after holding that the order of the assessing officer is erroneous and prejudicial to the interest of the revenue. ..... where the facts and circumstances of the case are sufficient to establish that the assessing officer has not applied his mind while passing the order for allowability of interest on sticky loans, his order is erroneous and prejudicial to the interests of the revenue for which revision under section 19 may be made by the commissioner.1. i.t.a. ..... she has drawn our attention to section 2(7) of the interest-tax act in which the word 'interest' has been defined and submitted that the interest tax was brought on the statute in the year 1974 after the export credit scheme which was announced in the year 1968. ..... [1988] 171 itr 141/[1987] 34 taxman 443 in which their lordships have held that if the ito has considered the requisite information furnished by the assessee and completed the assessment, the order of revision by the cit on the ground that the assessing officer has not made proper inquiries would not hold good. mr. ..... she has also drawn our attention to the original return and revised return for the assessment year 1985-86 which are placed at pages 51 to 56 in which the assessee failed to mention the method of accounting. .....
Tag this Judgment!Court : Andhra Pradesh
Reported in : [1992]195ITR895(AP); [1992]61TAXMAN136(AP)
..... the commissioner sought to revise that order in exercise of his powers under section 263 of the income-tax act. ..... capital gains in respect of survey number 12 can be said to arise in the assessment year 1974-75 when the dispute regarding the title to the land was cleared; only on july 3, 1974, relevant to the assessment year 1975-76 (6) (a) whether the order of the commissioner revising the assessment of the assessee for 1974-75 without revising the consequential assessment order of the assessee's son for 1974-75 and 1975-76 results in assessment of the same income in the hands of both the assessee and his son ..... the commissioner of income-tax found that such reduction was erroneous and prejudicial to the interest of the revenue. ..... 12 which was taken possession of by the government on october 12, 1973, but in respect of which an award was passed on july 20, 1974, is taxable in the assessment year 1974-75 (4) if the answer to the above question is in the affirmative whether the commissioner can revise the order for 1974-75 without revising the assessment order for 1975-76 and whether the tribunal has jurisdiction to direct deletion of the income for the assessment year 1975-76 while the appeal before it was in respect of the assessment year .....
Tag this Judgment!Court : Kolkata
Reported in : [1977]109ITR229(Cal)
..... section 33b was enacted and thereafter it was re-enacted as section 263 of the 1961 act to arm the commissioner with the power of revising any order which is erroneous and is prejudicial to the interest of the revenue inasmuch as the department has no right of appeal to the appellate assistant commissioner against any order passed by the income-tax officer. ..... on 11th january, 1974, the petitioner received the impugned notice under section 263 of the income-tax act proposing to rectify the assessment orders for the assessment years 1967-68, 1968-69 and 1969-70. ..... thereafter, on 8th january, 1974, a notice was given of the application under section 256(1) of the income-tax act for referring certain questions of law to the high court. 5. ..... on the 20th march, 1975, an order was passed by the commissioner of income-tax rejecting the petitioner's application under section 264 of the income-tax act for reduction of interest charged for the assessment years 1967-68, 1968-69 and 1969-70, on the ground that the orders of assessment in question have already been set aside by an order under section 263 of the income-tax act on the 7th february, 1974, by the additional commissioner of income-tax, west bengal-ii. ..... i have mentioned before that the interim order as varied by the order dated the 30th january, 1974, directed that the commissioner might pass the order but he should not communicate the order to the petitioner or give effect to the same. .....
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