TMI Blog1994 (2) TMI 4X X X X Extracts X X X X X X X X Extracts X X X X ..... mmissioner of Income-tax (investigation) observed that booking of houses, allotment of houses, and calculation of sale price were/are all in the control of the petitioner. There is also another housing society, namely, Shri Naminath Co-op. Housing Society Ltd., Rajkot, having its registered office at Illa Villa, Ashapura, Rajkot, in which close relatives of the petitioner are members. In order to appreciate the controversy arising in this revision application, it would be worthwhile to ascertain as to what is done by the Assistant Commissioner of Income-tax (Investigation). From the documents submitted by the petitioner as well as the discussion with him and his authorised representative, the Assistant Commissioner of Income-tax (Investigation) found out the modus operandi which was adopted by the petitioner in allotment of houses and collection of sale price. The Assistant Commissioner of Income-tax (Investigation) has found, as a matter of fact, that without transferring the ownership, the deposit of the person who wanted to book a house was exhausted and there was no provision under which the purchaser/allottee was entitled to withdraw his money by handing over possession ba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ier, it was found that during the relevant previous year, the petitioner had sold 21 B-type houses and thus the Assistant Commissioner of Income-tax (Investigation) directed to add Rs. 7,35,000 to the total income of the petitioner on account of income from undisclosed sources. On similar basis and logic, the Assistant Commissioner of Income-tax (Investigation) further held that the assessee had received Rs. 21,000 as "on money" on account of sale of each C-type house. The amount of Rs. 21,000 was calculated on a proportionate basis taking the facts available for the B-type houses as the base. It was found that during the year, the petitioner had sold three C-type houses and, therefore, the Assistant Commissioner of Income-tax (Investigation) further directed an addition of Rs. 63,000 to the total income of the petitioner on account of income from undisclosed sources. Ultimately, by an assessment order dated March 26, 1993, the Assistant Commissioner of Income-tax (investigation) has assessed the total income of the petitioner at Rs. 6,89,860 under section 143(3) of the Act and directed to issue necessary demand notice and challan. He has also directed to initiate appropriate proce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in civil courts.---No suit shall be brought in any civil court to set aside or modify any proceedings taken or order made under this Act, and no prosecution, suit or other proceeding shall lie against the Government or any officer of the Government for anything in good faith done or intended to be done under this Act. " Section 9 of the Civil Procedure Code provides that the courts shall have jurisdiction to try all suits of civil nature excepting suits of which their cognizance is either expressly or impliedly barred. It is not in dispute that the petitioner is being assessed under the provisions of the Act. It is also not in dispute that the Assistant Commissioner of Income-tax (Investigation) has power to assess the income of the petitioner and to pass appropriate orders. Under the circumstances, prima facie, there is nothing to indicate that the order is without jurisdiction or nullity. Unless and until it is pointed out that the order of assessment is a nullity on its face, the suit challenging the assessment proceedings would not be maintainable. The points which are sought to be raised by the petitioner require investigation of facts and there is nothing on the face of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hority, that authority must be allowed to exercise the same without any interference by outside authority or the court except such other higher authorities provided in the legislation or in the Constitution. Just as all the authorities are required to respect and abide by any order of the court or civil court and to challenge the same only by way of appeals in the higher forum, similarly the civil court has also to realise the limitations of its jurisdiction and respect the authority and jurisdiction of the special forum created by the legislation. " I am in respectful agreement with the view expressed by this court in the aforesaid judgment. The mandate contained in section 293 of the Act is very clear, unambiguous and absolute. A suit cannot be brought in any civil court to set aside any proceeding taken or order made under the Act. It may be mentioned that the Income-tax Act, 1961, is a complete code in itself dealing with assessment of income of an assessee. The manner in which and the authorities before which an order of assessment can be challenged is also elaborately provided therein. Having regard to the facts and circumstances of the case, the submission that both the co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant facts and circumstances, an addition of Rs. 7,35,000 and Rs. 63,000 to the total income of the petitioner on account of income from undisclosed sources is ordered by the Assistant Commissioner of Income-tax (Investigation). Relevant and cogent reasons have been given by the Assistant Commissioner of Income-tax (Investigation) before reaching the conclusion in question. It cannot be said that the assessment order is, in any manner, violative of the principles of natural justice or that the same is bad on the ground that no reasons have been assigned for reaching the conclusion in question. No material worth the name is produced on the record of the case to indicate that the order of assessment is passed mala fide. Having regard to the facts and circumstances of the case, a practical and robust common sense view is taken by the Assistant Commissioner of Income-tax (Investigation) and it cannot be said that any prima facie case is made out by the petitioner for challenging the said order on the ground that it is null and void ab initio or it is passed without jurisdiction. The Assistant Commissioner of Income-tax (Investigation) has adopted a course permissible to him under the pr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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