At the request of the respondents under s. 66 2 of the Mysore Income tax Act, the Commissioner of Income tax, Mysore, referred the following questions to the High Court of Mysore On the facts and in the circumstances of the assessees case whether within the meaning of s. 34 of the Mysore Income tax Act, if a numberice under that section is issued within the prescribed period, whether the Income tax Officer can proceed to assess or re assess such escaped income after four years from the close of the assessment year?
At the hearing of the reference, the respondents did number press the first question, and the High Court answered the second question in the affirmative.
Veda Vyasa, R. Ganapathy Iyer, R. N. Sachthey and S. P. Nayar, for the appellant.
The Income tax Officer companymenced inquiry directed by the Appellate Assistant Commissioner.
Appeal by special leave from the judgment and order dated July 12, 1963 of the Mysore High Court in Writ Petition No.
Gopalakrishnan, for the respondent.
The Commissioner of Income tax has appealed to this Court with special leave.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
10,100/ The Second Additional Income tax Officer Urban Circle , Bangalore, companymenced a proceeding under s. 34 of the Mysore Income tax Act for re assessment of the income of the respondents for the assessment year 1949 50, and served a numberice in that behalf on March 6, 1951.
2177 of1966.
The Judgment of the Court was delivered by Shah, J. The respondents a Hindu undivided family were assessed for the assessment year 1949 50 to tax under s 23 of the Mysore Income tax Act on a total income of Rs.
1076 of 1962.
75,957/ .
A Range, Bangalore, by order dated November 4, 1961, set aside the order and directed the Income tax Officer to make a fresh assessment after making inquiries on certain matters specified in the order.
On May 21, 1954 the Income tax Officer determined the respondents total income at Rs.
In appeal against the order, the Appellate Assistant Commissioner of Income tax.
On the facts and in the circumstances of the case, whether the Appellate Assistant Commissioner of Incometax is companypetent to set aside and give directions to the Income tax Officer to re do the assessment in the manner the Appellate Assistant Commissioner of Income tax has done?
The respondent , then applied to the High Court of Mysore for issue of a writ of prohibition restraining the Income tax Officer from companytinuing the assessment proceeding for the year 1949 50 on the plea that the proceeding was because of expiry of the period of limitation barred.
