TMI Blog1966 (9) TMI 26X X X X Extracts X X X X X X X X Extracts X X X X ..... 964, from the respondent under section 139(2) of the Income-tax Act, 1961, requiring a return of total income for the assessment year 1964-65, to be filed by July 25, 1964. On July 24, 1964, the petitioner applied for extension of time up to August 30, 1964, but this was refused by the respondent, with the result that the petitioner was unable to file the return within the time allowed and became liable for the payment of interest and to the imposition of penalty. The petitioner's contention is that, in accordance with the provisions of sub-section (1) of section 139 of the Act, the petitioner was entitled to file its return of income up to September 30, 1964, and that the respondent had no right to demand a return to be filed earlier und ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y days from the date of service of the notice, a return of his income or the income of such other person during the previous year, in the prescribed form and verified in the prescribed manner and setting forth such other particulars as may be prescribed ......." In the case of the petitioner, whose income is derived from business and whose accounting period corresponds with the financial year, the time for filing the return of income under sub-section (1) of section 139 was up to September 30, 1964 (i e., before the expiry of six months from the end of the previous year); but the respondent, acting under sub-section (2), has demanded a return by July 25, 1964. The argument advanced on behalf of the petitioner is that sub-section (2) of se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en these two provisions and we see no reason why both of them should not operate simultaneously to their full extent. Reading the two sub-sections harmoniously together, we are of opinion that the intention of the section is that all persons liable to assessment should be under an obligation to furnish a return of income within the time prescribed by sub-section (1) (i.e., either by 30th of June or by 30th of September of the assessment year), provided they have not already been asked by the Income-tax Officer to furnish a return by means of a notice under sub-section (2). There is nothing in the wording of these two sub-sections themselves that would lead to the inference that sub-section (2) was not meant to operate during the period pres ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are in no way applicable to such cases. Section 139(2), for example, required a return of income only for the previous year, whereas section 174 envisages a return not only for the previous year but also for part of the current year; and whereas section 139(2) lays down that the period of notice shall be 30 days, under section 174 the period is only seven days. We are unable to agree therefore that section 139(2) was enacted for the purpose of providing a procedure for the exceptional cases dealt with in sections 174, 175 and 176 ; and in our opinion sub-section (7) of section 139 cannot be construed as referring only to the returns submitted in those exceptional cases. It has further been pointed out to us by learned counsel for the res ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r, merely confer a right on assessees to file their returns of income up to the 30th of June or 30th of September as the case may be, provided they have not already been served with notice under sub-section (2). This provision of law applies to all assessees without distinction and no question of discrimination therefore arises. No doubt, in individual cases it is conceivable that unfair discrimination may be practised by the Income-tax Officer in the implementation of these provisions of law by mala fide curtailing the time allowed to one assessee for the submission of his return, while giving more latitude to another. But no material has been adduced in the present case to establish any such plea. The result is that we see no force in e ..... X X X X Extracts X X X X X X X X Extracts X X X X
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