TMI Blog1992 (10) TMI 50X X X X Extracts X X X X X X X X Extracts X X X X ..... matter was being conducted by Messrs. A. S. Bhatia and Co., the chartered accountants concerned. The Income-tax Officer gave an intimation to him about Basheshar Nath's case, in reply to which the Income-tax Officer was informed that the assessee had died on December 10, 1965, and the family was in mourning and that some time should be granted. Despite this information, the Income-tax Officer continued the proceedings and issued notice under section 143(2) in the name of Basheshar Nath, which was served on Mr. Shinghari, advocate. The assessment was completed on March 22, 1968, determining the total income at Rs. 3,99,819. Some of the legal representatives of Basheshar Nath filed an appeal before the Appellate Assistant Commissioner and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rders passed by the Appellate Assistant Commissioner and the Tribunal on identical grounds, namely, that the order of the Income-tax Officer was a nullity and that the proceedings could not be continued against the legal representatives of Basheshar Nath from the stage they were when he died. The writ petition is opposed by the Income-tax Department. On a consideration of the matter, we are of the view that, in view of the provisions of section 159(2), relating to liabilities in such cases of the legal representatives, section 251, relating to the powers of the Appellate Assistant Commissioner, including the power to refer back to the assessing authority for making a fresh assessment in accordance with law and the decision of the Supreme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stant Commissioner, after setting aside the order of the Income-tax Officer, had no power to remand the matter to him for continuing the proceedings from the date of death of the assessee and in making a fresh order. This argument is also against the wording of section 251 of the Act. Section 251(1)(a) clearly provides that the Commissioner (A peals) shall have the power to set aside an assessment and refer the case back to the Assessing Officer for making a fresh assessment in accordance with the directions given by him. Accordingly, this contention is also repelled. The following observations made in Rangalal Jajodia's case [1971] 79 ITR 505 (SC) are of great help in deciding this case ( at page 511 ) : " What happened in the present as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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