TMI Blog1973 (8) TMI 27X X X X Extracts X X X X X X X X Extracts X X X X ..... nil proceedings recorded by the Agricultural Income-tax Officer on December 10, 1967, we do not think there was any obligation on the part of the Agricultural Income-tax Officer to have communicated that order to the assessee though even in such cases it is desirable to do so - - - - - Dated:- 8-8-1973 - Judge(s) : GEORGE VADAKKEL., P. GOVINDAN NAIR. JUDGMENT The judgment of the court was delivered by GOVINDAN NAIR C.J.-Two questions have been referred to this court for decision by the Kerala Agricultural Income-tax Appellate Tribunal. The questions read as follows: "1. Whether, on the facts and circumstances of the case, the Tribunal was correct in holding that the proceedings initiated under section 35 are ab initio void ? 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion to start proceedings under that section. This contention was negatived by him. An appeal by the assessee before the Appellate Assistant Commissioner also failed. In further appeal before the Tribunal, the Tribunal took the view that since the order of nil assessment had not been communicated to the assessee, the notice under section 35 was ab initio void. The assessment made was accordingly set aside. The ground for the decision was that as far as the assessee was concerned the assessment proceedings originally commenced were still pending because the order of nil assessment had not been communicated to the assessee. The view taken by the Tribunal is erroneous. The scheme of the Act indicates that the making of an assessment naturall ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not been communicated to the assessee, without adopting, the procedure prescribed by section 35 or section 36. That a nil assessment is also an assessment order has been ruled by the Supreme Court in Esthuri Aswathiah v. Income-tax Officer, Mysore State. The specific question whether proceedings can be taken under section 34 of the Indian Income-tax Act, 1922, in the absence of communication of the assessment order arose before the Madras High Court in M. CT. Muthuraman v. Commissioner of Income-tax tax. The learned judges had no hesitation in holding that the fact that the order terminating the assessment proceedings was not communicated to the assessee did not affect the legality of the order or its finality. It apparently appeared to th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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