2011 (3) TMI 1631 - HC - Income Tax

Summary

Issues involved: Appeal against order of Income-tax Appellate Tribunal affirming assessee as an agent u/s 163 of the Income-tax Act for assessment year 1996-97.

The High Court of Calcutta heard an appeal by the assessee against the order of the Income-tax Appellate Tribunal affirming the assessee as an agent u/s 163 of the Income-tax Act for the assessment year 1996-97. The Tribunal had quashed the assessment proceedings due to the notice served after the expiry of two years from the end of the relevant assessment year. The Respondent-Revenue did not appeal against part of the order quashing the assessment, leading to finality on that aspect. The Court noted that the question of the assessee being an agent became academic since the assessment itself was quashed. The concept of agent under section 149(3) of the Act is relevant only for assessment purposes. Therefore, the Court decided to quash the finding that the appellant was an agent, as it was no longer necessary given the quashing of the assessment. The appeal was disposed of accordingly, with a certified copy of the order to be provided to the parties.