1964 (1) TMI 5 - SC - Income Tax

Construction of the proviso to sub-section (3) of section 34 of the Indian Income-tax Act, 1922, as amended by Act 25 of 1933 questioned

Held that:- tion was to remove the period of limitation in respect of any assessment against any person, the proviso would not have been added as a proviso to sub-section (3) of section 34, which deals with completion of an assessment, but would have been added to sub-section (1) thereof.

The said proviso would not save the time-limit prescribed under sub-section (1) of section 34 of the Act in respect of an escaped assessment of a year other than that which is the subject-matter of the appeal or the revision, as the case may be. It follows that the notice under section 34(1)(a) of the Act issued in the present case was clearly barred by limitation. Appeal dismissed.