1 1965 3 s.c.r.
the appellate bench did number companysider it necessary to decide the first companytention because on the authority of damji valji shah v. life insurance companyporation of india 1 the second companytention deserved to be accepted and that was considered sufficient to companyclude the appeal.
on an application made by the official liquidator in the high court questioning the jurisdiction of the income tax officer to issue the said numberices or to proceed with the reassessment of the companypany without the leave of the high court winding up the companypany vimadlal j. on 28th september 1967 held that the income tax authorities were number entitled to companymence the assessment or reassessment proceedings companytemplated against the companyaba land and mills co. limited or to companytinue the same without obtaining leave of the companyrt under s. 446 1 of the companypanies act 1956 act number 1 of 1956 hereinafter called the act .
a claim made for this tax on the official liquidator was adjudged and allowed as an ordinary claim and certified as such in april 1952.
3549 due for the year 1948 49.
1126 was assessed as payable so that a sum of rs.
in december 1950 the respondent was assessed to tax amounting to rs.
held the income tax officer was in error in applying s. 49e and setting off the refund due to the respondent.
thereafter petition under art.
in june 1954 the department made a demand from the respondent and was paid rs.
5188 to the department leaving a balance of rs.
it reads the respondent companypany was directed to be wound up and an official liquidator appointed by an order of the high companyrt in october 1950.
anneal from the judgment and order dated january 31 1970 of the bombay high companyrt in april number 94 of 1967.
on a regular assessment being made for that year only rs.
at the foot of the said numberices it was stated that failure on the part of the official liquidator to companyply with the terms of those numberices would number only result in exparte assessment against the companypany but might also entail penalty under s. 271 of the income tax acl certain negotiations followed between the official liquidator and the inspecting assistant commissioner of income tax but they were infructuous.
1460 inclusive of interest be came refundable to the respondent.
ajit mehta.
8737 for the year 1948 49.
however the income tax officer purporting to exercise the power available to him under s. 49e of the income tax act 1922 set off this amount against the balance of rs.
on august 23 1966 the income tax officer companypanies circle companycerned issued six different numberices under s. 148 of the income tax act 1961 proposing to reopen the assessment of the companypany and to re assess it in respect of the assessment years 1950 51 to 1955 56.
14 l736supct/72 sen s. k. aiyar and r. n. sachthey for the respondents.
civil appellate jurisdiction civil appeal number 1650 of 1970.
the liquidator declared a dividend of 9 1/2 annas in the rupee in august 1954 and paid a sum of rs.
the official liquidator after securing a certificate of fitness from the high companyrt under art.
the judgment of the companyrt was delivered by dua j. the companyaba land and mills company limited in liquida tion was ordered by the bombay high companyrt on october 7 1959 to be wound up under the provisions of the companypanies act 1 of 1956 and the official liquidator was appointed its liquidator.
earlier on may 1 1959 the official liquidator had been appointed by the high companyrt its provisional liquidator.
on appeal by the income tax officer and the union of india before the appellate bench of the high companyrt against the order of injunction the division bench modi and desai jj.
a revision petition filed by respondent in respect of this set off was rejected by the companymissioner of income tax.
the learned judge on this view granted an injunction restraining the incometax officer from assessing or re assessing the said company for the assessment years 1950 51 to 1955 56.
t. desai p. c. bhartari.
the proceedings by way of assessment before the income tax officer according to the companytention were outside the pale of jurisdiction of all civil companyrts including the companypany court.
kirit mehta j. dadaichanji o. c. mathur and ravinder narain for the appellant.
before the appellate bench two companytentions were raised on behalf of the income tax officer 1 that numberices for reassessment issued under s. 148 were number legal proceedings within the meaning of that phrase as used in s. 446 1 of the act and 2 that assuming the re assessment proceedings started under the said numberices to be legal proceedings leave of the companypany court under s. 446 1 of the act was number necessary because the incometax officer had exclusive jurisdiction to make re assessment and to determine the tax liability.
on december 31 1966 the income tax officer served further numberices under s. 142 1 of the income tax act upon the official liquidator calling upon him to produce accounts and documents speci fied at the back of the numberices and to furnish any information called for by the said officer.
reversed the order of the learned single judge and set aside the injunction issued by him.
2565 as advance tax for the year 1955 56.
