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Issues:
1. Review of order dated January 22, 1987, passed in I.T.R. No. 1141 of 1977. 2. Assessment of cash credits for the assessment years 1960-61 and 1961-62. 3. Disclosure of material facts by the assessee. 4. Comparison of two judgments - I.T.R. No. 370 of 1980 and the current case. 5. Application for review under Order 47, rule 1, or section 151, CPC. Analysis: 1. The application filed under Order 47, rule I read with section 151 sought a review of the court's order dated January 22, 1987, in I.T.R. No. 1141 of 1977. The dispute arose from two questions referred by the Income-tax Appellate Tribunal under section 256(2) of the Income-tax Act, 1961, related to the assessment year 1960-61. The applicant contended that a previous decision in I.T.R. No. 370 of 1980, favoring them for the assessment year 1961-62, was not considered in the current judgment, leading to a request for review. 2. The Income-tax Officer assessed certain cash credits as income from undisclosed sources for the assessment year 1960-61, despite being recorded in the books for the subsequent year 1961-62. The Tribunal held that the deposits were not taxable in 1960-61 due to the application of the Income-tax Act, 1961, and the absence of failure to disclose material facts. However, the court found a failure on the part of the assessee to disclose all material facts for the assessment year 1960-61, leading to a different conclusion from the Tribunal. 3. The issue of disclosure of material facts by the assessee was crucial in determining the tax liability for the disputed cash credits. The court found that the disclosure made during the assessment proceedings for the subsequent year, 1961-62, did not absolve the assessee of its obligation to disclose fully and truly for the assessment year 1960-61. This lack of disclosure was a significant factor in the court's decision regarding the taxability of the cash credits. 4. A comparison between the judgments in I.T.R. No. 370 of 1980 and the current case revealed different factual scenarios and questions considered. The court emphasized that the issues addressed in the two cases were distinct, with the current judgment focusing on the assessment year 1960-61 and the disclosure obligations of the assessee, unlike the previous case concerning the assessment year 1961-62. 5. The court rejected the application for review under Order 47, rule 1, or section 151, CPC, citing precedents that highlighted the limited scope of review in income tax matters. It clarified that the High Court's jurisdiction under section 256 of the Income-tax Act, 1961, was advisory and not akin to original, appellate, or revisional jurisdiction. The court emphasized the absence of specific review powers under the Income-tax Act and the inapplicability of general review provisions in this context. In conclusion, the court dismissed the application for review, maintaining its decision regarding the taxability of the cash credits for the assessment year 1960-61 based on the assessee's failure to disclose material facts.
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