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Jurisdiction of civil court in tax assessment matters. Analysis: The petition challenged an order by the Sub-Judge 1st Class, Hissar, which restrained the Income-tax Officer from assessing the plaintiff for capital gains related to compensation received for land acquisition. The respondents had invested the compensation in National Rural Development Bonds, claiming exemption from capital gains tax. The respondents also had ongoing civil suits regarding the acquisition proceedings and the legality of the acquisition itself. The Income-tax Officer issued notices for assessment, which the plaintiffs contested, arguing that the officer had no jurisdiction due to the pending civil court cases. The trial court held that the civil court had jurisdiction and restrained the Income-tax Officer. The Revenue contested this decision, citing section 293 of the Income-tax Act, which bars civil courts from setting aside or modifying assessment orders. The court discussed previous judgments and concluded that civil courts cannot interfere with completed assessments. The respondents argued that as the acquisition proceedings were deemed null and void by the civil court, the tax assessments would be harassment. However, the court held that such arguments should be raised under the Income-tax Act, not in civil court. The court also noted that the Income-tax Commissioner's direction to delay assessments did not grant jurisdiction to the civil court. Ultimately, the court set aside the trial court's order, ruling that the civil court had no jurisdiction in tax assessment matters.
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