Petition Nos.
The assessments were framed by the Income Tax Officer on August 23, 1980 under section 143 3 read with section 144B of the Income Tax Act hereinafter referred to as the Act against which the assessees went in appeal to the Commissioner Appeals .
The respondents herein are the assessees and the assessment year in question is 1976 1977.
368 369 of 1993 which were heard by the High Court alongwith Misc.
All these four matters were disposed of by the High Court by a companymon judgment which is impugned in these appeals.
The two references were numbered as M.C.C. Nos.
The said reference is still pending before the High Court.
The second application for refund of tax was also number granted and the Income Tax Officer by his order dated August 21,1987 informed the assessees that the refund has been withheld till the reference application filed in the case of M s. Shelly Products Bhopal is decided by the High Court.
The Income Tax Officer by his letter dated August 13, 1984 informed the assessees that the refund may be given for taxes paid on regular assessments which have since been annulled excluding tax paid in advance and on self assessments.
The question that arises for companysideration in these appeals is whether on the facts and in the circumstances of the case the respondents are entitled to the refund of income tax paid by them by way of advance tax and self assessment tax in the event of assessment framed being nullified by the Tribunal on the ground of jurisdiction and there being numberpossibility of framing a fresh assessment.
Petition Nos.
Their appeals were allowed by the Tribunal by its order dated January 14, 1984 which held that the assessment orders passed by the I.T.O. SIC 1, Indore on August 23, 1980 were ab initio void on the ground that I.A.C. Assessment Indore had numberjurisdiction to deal with the pending reference under section 144 N i of the Act and to issue directions to the Income Tax Officer SIC 1, Indore under section 144B of the Act.
The revenue sought a reference to the High Court which was refused, but by order dated April 21, 1989 the High Court directed the Tribunal to refer the questions of law in both references for its decision.
In the meantime the assessees filed applications before the Assessing Officer for refund of the tax paid pursuant to the Tribunals order dated January 14, 1984.
Accordingly the Tribunal framed the questions of law and referred the matter to the High Court for its opinion.
The assessees went up in appeal before the Income Tax Appellate Tribunal.
Appeals were preferred to the Appellate Commissioner, which were allowed by orders dated February 3, 1981 and the Income Tax Officer was directed to refund to the assessees the advance tax and self assessment tax also.
The facts of the case, in so far as they are relevant for the disposal of these appeals, are number in dispute.
The High Court by its companymon judgment and order has answered the question in the affirmative rejecting the submission of the department that the refund must be limited to income tax paid pursuant to order of assessment, other than income tax paid by way of advance tax and self assessment tax.
The Tribunal on appeal affirmed the order of the Appellate Commissioner, but at the instance of the revenue framed the following question of law for decision of the High Court Whether on the facts and in the circumstances of the case the ITAT was justified in directing the Assessing Officer to refund the tax with interest paid by the assessees on the income returned.
P. SINGH, J. These four appeals by special leave have been preferred by the revenue impugning the companymon judgment and order of the High Court of Madhya Pradesh at Jabalpur dated July 9, 1996 in C.C. Nos.
368 369 of 1993 and Misc.
The appellate Commissioner by his order dated February 3, 1981 partly allowed the appeal on other points but rejected the companytention urged on behalf of the assessees that the assessments made by the Income Tax Officer Indore were without jurisdiction.
2750 of 1984 and 3773 of 1987 challenging the orders passed by the Income Tax Officer refusing to refund the tax as prayed for by orders dated August 13, 1984 and August 21, 1987.
2750 of 1984 and 3773 of 1987.
