TMI Blog1994 (1) TMI 36X X X X Extracts X X X X X X X X Extracts X X X X ..... ows : The assessment for the assessment year 1961-62 was initially completed, taking a sum of Rs. 7,81,500 as deemed dividend, thus determining the total income at a loss of Rs. 3,11,975. Subsequently, on appeal, the Appellate Tribunal held that the sum of Rs. 7,81,500 cannot be treated as dividend and, consequently, the loss to be carried over in the assessment was quantified at Rs. 11,94,684. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubsequent years were only consequential orders giving effect to the decision of the High Court and could not be affected by the bar of limitation prescribed in those sections. On these facts, the following questions were referred to this court: "(1) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal is right in holding that the order passed by the Incom ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is under section 154, whether, on the facts and in the circumstances of the case, the order dated July 30, 1977, passed by the Income-tax Officer in the assessment for 1965-66 without notice to the assessee is valid in law? (4) If the answer to question No. 2 is in the negative and if the answer is that the order is made under section 154, whether the order dated July 30, 1977, passed in relati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his court in Kanaka Films Private Ltd. v. ITO [1989] 177 ITR 88 where the Revenue had taken such an objection, but was overruled by this court. We find that the questions raised are practically concluded by that decision. The amendments carried out by the Income-tax Officer were only consequential orders and cannot be fettered by the bar of limitation under section 154 or under section 147(b). T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mitation. Therefore, we are of the considered opinion that the limitations prescribed under section 154 or under section 147(b) were not meant to be applied to amendments made consequential to the decisions of the High Court or the Supreme Court even though the power of the Income-tax Officer to amend the assessments in consequence of these decisions may be traceable to either section 147(b) or se ..... X X X X Extracts X X X X X X X X Extracts X X X X
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