9911796707
TMI Blog1956 (8) TMI 58X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessment order passed by him he directed that the sum of ₹ 1,11,271 was subject to adjustment. Therefore it is clear that in the final assessment what the Income-tax Officer had accepted as the income of the assessee was not ₹ 1,11,271, but ₹ 1,11,271 subject to adjustment. It will also be realised that the principle on which the adjustment was to be made was also accepted. So, the only question was to work out the figures in conformity with that principle. Now, on the 28th of March, 1952, a notice was issued against the assessee under section 34, and the notice dealt with certain notional income which was sought to be added to the income of the assessee in respect of dividends of a certain company of which the assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... made under section 34 read with section 23(3) of the Act has a right of appeal against any item included in the original assessment?" Really, what is sought to be conveyed is appeal against any matter which is concluded by the original assessment, because it may well be that any particular item in the original assessment may become subject of re-assessment under proceedings under section 34. We will therefore amend the question to read "against any matter concluded by the original assessment." Now, as far as this question is concerned, it seems to us that, with respect to the Tribunal, it is capable of only one answer. Once an assessment order is made and the assessment order is not appealed against, it becomes conclusive ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d on the basis that the income of the assessee was ₹ 1,11,271. It is clear that, in doing so, he interfered with the assessment order of the Income-tax Officer which had become final. In assessing the assessee on the basis of an income of ₹ 1,11,271 he was not giving effect to the original assessment order, but he was clearly departing from it. Therefore, when the assessee went to the Appellate Assistant Commissioner he was not quarrelling with the finality of the assessment order. On the contrary, he was asserting that the original assessment order had become final and it was the Income-tax Officer under section 34 who was interfering with that finality. Therefore it is not as if the assessee is not as anxious to maintain the s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the correct adjustment. But it was the duty of the Income-tax Officer, acting under section 34, to have got the figure adjusted before he passed his final assessment order, and what the Appellate Assistant Commissioner did was the right thing, viz., to direct the Income-tax Officer to give effect to the original assessment order by adjusting the figure of ₹ 1,11,271 in accordance with the directions given by the Tribunal. Therefore, in our opinion, on the facts of this case, the appeal preferred by the assessee to the Appellate Assistant Commissioner was competent. We will therefore frame another question to the effect: "Whether on the facts of this case the appeal preferred by the assessee to the Appellate Assistant Commission ..... X X X X Extracts X X X X X X X X Extracts X X X X
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