TMI Blog1988 (12) TMI 143X X X X Extracts X X X X X X X X Extracts X X X X ..... rn filed in 1965. This amount represented interest income from Carry Co. The legal representative of the assessee filed a letter dt 18-4-79 along with the present return inter alia stating that the notice u/s. 148 was not valid and that the return was filed under protest. It was also stated that in the return there was only interest and there was no other income during the year. Sri K.C. Agarwal A/R appeared from time to time in response to the notice u/s. 143(2) when Sri R.L. Saraf, Accountant was also present. During the course of discussion, the A/R was requested to state the facts regarding the transfer of jewellery and ornaments worth Rs. 98,535 (as per assessee's valuer) by the assessee to Smt. Draupadi Devi Kedia by means of a settle ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ornaments is as income of the assessee of the finance year ending 31-3-62 u/s. 69 of the I.T. Act, 1961. Subject of the above, total income is computed as under :-- Interest as per return ... Rs. 1,206 Income from undisclosed sources ... Rs. 98,535 --------------------- Total income ... Rs. 99,741 --------------------- Accordingly, he completed the assessment on a total income of Rs. 99,741. Aggrieved by the order of the ITO the assessee preferred an appeal to the AAC. 3. In the appeal before the AAC the assessee has taken the following grounds challenging the validity of the reopening of the assessment :-- 1. "FOR THAT on the facts and in the circumstances of the case, the learned officer erred in assuming jurisdictio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ken on the basis of a letter issued by the ITO, E-Ward/SSC-VII/Cal., dated 9-5-77. In his letter it is stated that the valuation of jewelleries as per appellant's valuer stands at Rs. 98,535 and this valuation by appellant valuer is the valuation report with reference to valuation date on 31-3-76. Therefore, the valuation of jewelleries as on 31-3-76 should be much lea in the year 1962-63. The A/R has referred to gift-tax assessment of the appellant with reference to jewelleries and ornaments. It is seen from the order that the GTO has estimated the valuation of such jewelleries for the assessment year 1963-64 at Rs. 49,000. Since the assessment order under consideration is 1962-63 I think it would be proper to estimate the value of jewelle ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tax assessment for the assessment year 1963-64. From this, it is clear that there was no new information to the ITO for reopening of the assessment Further, the notice under section 148 dated 24-3-79 was addressed to Chanda Devi Saraf. The said notice is bad in law as it was given to a dead person because Chanda Devi Saraf died on 11-10-77. Intimation was given to the ITO regarding the death of Chanda Devi Saraf by letter dated 14-11-77. The notice. under section 148 dated 24-3-79 can be seen at page 14 of the Paper Book The letter dated 14-11-77 from Kanhaiya Lal Saraf informing the death of Chanda Devi Saraf can be seen at page 16 of the Paper Book. As the Gift-tax assessment was made on 22-10-83 talking the value of gifts at Rs. 49,000, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t time barred. According to section 149(1)(a)(ii) the notice under section 148 can be issued if the income chargeable to tax which has escaped assessment amounts to or is likely to amount to Rs. 50,000 or more for that year. Since the ITO was of the opinion that the income escaped amounted to Rs. 98,535 he obtained sanction of the C.B.D.T. and issued notice under section 148. In his opinion the income escaped amounted or was likely to amount to Rs. 50,000 or more for that year. So, the initiation of the proceedings under section 148, cannot be found fault with. The order of the AAC is to be upheld. 6. We have considered the rival submissions, perused the papers filed before us and the caw law cited. According to the decision of the Supre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sd/-............... 23-3-79. Under Secretary, Central Board of Direct Taxes." The Departmental Representative has, at our request, filed photostal copies of the said Form before us. We have verified the original. In the original, a rubber stamp has been affixed containing the following words :-- " Yes. The Board is satisfied. Under Secretary, Central Board of Direct Taxes." The Under Secretary has signed in the blank space provided in the rubber stamp. In the case of Govinda Choudhury Sons v. ITO [1977] 109 ITR 370 (Ori) wherein the proposals sent by the Income-tax Officer for initiating reassessment proceedings the Commissioner did not write in his own hand writing 'yes', but the word was affixed by means of a rubber st ..... X X X X Extracts X X X X X X X X Extracts X X X X
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