TMI Blog2002 (7) TMI 85X X X X Extracts X X X X X X X X Extracts X X X X ..... EENA., SHASHI KANT SHARMA. JUDGMENT On an application filed under section 256(1) of the Income-tax Act, 1961, the Tribunal has referred the following question for our opinion: "Whether, on the facts and in the circumstances of the case, the present assessment proceedings should be considered to be barred by law because of the intervening irregularities and the consequent delay?" The assessee filed a return declaring an income of Rs.43,820. The relevant assessment year is 1975-76. Initially the assessment order was passed on August 16, 1977. In appeal, the Appellate Assistant Commissioner set aside that assessment order and directed to make fresh assessment. Fresh assessment order was passed under section 144 on May 25, 1978. That ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d of tax in time and that is a mistake, which can be cured under section 292B of the Income-tax Act, 1961. Mr. Ranka, learned counsel for the assessee, submits that the assessment is not completed unless tax is determined and admittedly tax was determined on April 23, 1984, i.e., after two years from the date of the order passed in appeal by the Inspecting Assistant Commissioner (Assessment). He further submits that the delay cannot be condoned under section 292B of the Income-tax Act, 1961, particularly when the assessment has not been completed in time. In support of his contentions, he placed reliance on the decisions reported in CIT v. Balkrishna Malhotra [1971] 81 ITR 759 (SC); Kalyankumar Ray v. CIT [1991] 191 ITR 634 (SC) and Kila ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s been made under sub-section (1), the Income-tax Officer shall, by an order in writing, make an assessment of the total income or loss of the assessee, and determine the sum payable by him or refundable to him on the basis of such assessment; (b) in a case where an assessment has been made under sub-section (1), if either such assessment has been objected to by the assessee by an application under clause (a) of sub-section (2) or the Income-tax Officer is of opinion that such assessment is incorrect, inadequate or incomplete in any material respect, the Income-tax Officer shall, by an order in writing, make any fresh assessment of the total income or loss of the assessee, and determine the sum payable by him or refundable to him on the b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er again by this court as well as by the Judicial Committee that the words 'assessment' and 'assessee' are used in different places in the Act with different meanings. Therefore, in finding out the true meaning of those words in any provision, we have to see to the context in which the word is used and the purpose intended. to be achieved. It is true that sub-sections (1), (3) and (4) of section 23 require the Income-tax Officer to assess the total income of the assessee and determine the sum payable by him". In other words, in those provisions the word 'assess' has been used with reference to computation of the income of the assessee and not the determination of his tax liability. But in section 34(3) the word used is not 'assess' but 'ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation sheets are signed or initialled by the Income tax Officer that the process described in section 143(3) will be complete." Mr. Singhi, learned counsel for the Revenue also, placed reliance on the same decision, wherein their Lordships have made it clear that if the Assessing Officer has made the assessment of the income on separate papers and calculated the tax on the separate sheets, that does not make any difference, since both the sheets are signed by the Income-tax Officer and after that the assessment order is complete. In the case of Kalyankumar Ray v. CIT [1991] 191 ITR 634 (SC) both the sheets were signed before the expiry of two years as provided under sub-section (2A) of section 153 of the Income-tax Act, 1961, but in th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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