TMI Blog2000 (11) TMI 28X X X X Extracts X X X X X X X X Extracts X X X X ..... the date of the order of reassessment, but has to be calculated from the date of the order of the original assessment. The brief facts relevant for the purpose of deciding this case, though simple, had to be ascertained by spending considerable judicial time in view of the inadequate records produced by the Revenue, and the fact that the statement of the case does not contain all the material papers as annexures. The material facts are that the assessee, Thanga Pillai, was assessed to wealth-tax for the year 1975-76 on January 28, 1980. Assessments were made for the assessment years 1976-77 and 1977-78 on March 21, 1981, and March 31, 1981, respectively. The value of the agricultural lands possessed by the assessee being an extent of 43. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee. In the order of re-assessment, the assets in respect of which assessment had been made, originally remained undisturbed. The Commissioner of Wealth-tax, thereafter, invoked his jurisdiction under section 25(2) of the Wealth-tax Act, 1957, to revise the order made by the Wealth-tax Officer on reassessment, and proceeded to hold that the valuation of the agricultural lands set out by the Wealth-tax Officer which was merely the value that had been set out in the original order of assessment, was erroneous and was prejudicial to the Revenue. He overruled the objection that was raised by the assessee that the Commissioner could not in law proceed to revise the valuation of the agricultural lands which had been accepted by the Wealt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat it is made for the benefit of the Revenue, that it is aimed at bringing to tax the escaped income of an assessee, and the same cannot be allowed to be converted as revision or review proceedings at the instance of the assessee thereby, making the machinery unworkable. The assessee, it was held, cannot be permitted to convert the reassessment proceedindgs into an appeal or revision in disguise, and seek relief in respect of items earlier rejected or claim relief in respect of items not claimed in the original assessment proceedings; unless relatable to "escaped income". Learned counsel for the assessee contended that the order made by the Commissioner under section 25(2) was one which could not have been made in law, as the Commission ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as found to have been passed on February 25, 1965, after a period of four years from the date of the original assessment order which had been made on May 27, 1960, the same was barred by limitation. Under section 17 of the Wealth-tax Act, 1957, even as it is under section 147 of the Income-tax Act, proceedings for reassessment can be initiated when what is assessable to tax has escaped assessment for any assessment year. The power to deal with underassessment and the scope of reassessment proceedings as explained by the Supreme Court in the case of Sun Engineering [1992] 198 ITR 297, is in relation to that which has escaped assessment, and does not extend to reopening the entire assessment for the purpose or redoing the same de novo. An ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ars after the original assessment, proceed to revise items which had been accepted in the original order of assessment. Though the revisional power given to the Commissioner is for the purpose of protecting the Revenue, that is a power which is required to be exercised within the period of limitation prescribed by law. The limitation so prescribed is intended to protect the assessee. The Revenue in this case had more than one opportunity to question the correctness of the valuation of the agricultural land by the Wealth-tax Officer in the original order of assessment. It could have questioned the same in the appeal which the assessee had filed in respect of some other items as the entire assessment was open before the appellate author ..... X X X X Extracts X X X X X X X X Extracts X X X X
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