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TMI Blog1954 (9) TMI 37X X X X Extracts X X X X X X X X Extracts X X X X ..... a notice under section 13 of the Excess Profits Tax Act, XV of 1940, in March, 1950, was barred by time ? The assessee is a firm and the period in regard to which the dispute has arisen is the assessing period from 1st April, 1941, to 31st March, 1942. A notice under section 13 of the Excess Profits Tax Act was issued to the assessee on the 8th of March, 1950. There had been no other assessment under this Act during any previous assessing period. It was unsuccessfully contended before the Income-tax authorities as also before the Appellate Tribunal that this excess profits tax assessment was barred by time. Under section 13 of the Excess Profits Tax Act power is given to the Excess Profits Tax Officer to issue notice for assessment re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be therein specified to produce, or cause to be produced, such accounts or documents as the Excess Profits Tax Officer may require and may from time to time serve further notices in like manner requiring the production of such further accounts or documents or other evidence as he may require : Provided that the Excess Profits Tax Officer shall not require the production of any accounts relating to a period prior to the ' previous year' as determined under section 2 of the Indian Income-tax Act, 1922, for the purpose of the income-tax assessment for the year ending on the 31st day of March, 1937. In section 15 of this Act provision is made in regard to profits escaping assessment. That section as it stood before the amendm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... In this case, therefore, before the period of limitation, even under section 15 as it was before the amendment, expired, an Amending Act was passed which, though it received the assent of the Governor-General on the 18th of April, 1947, came into force according to the Act itself on the 31st of March, 1947. The words used in section 1(2) are- It shall be deemed to have come into force on the 31st day of March, 1947. It was held in State of Bombay v. Pandurang Vinayak Chaphalkar and Others [1953] SCR. 773, that when a statute enacts that something shall be deemed to have been done, which in fact and truth was not done, the Court is entitled and bound to ascertain for what purpose and between what persons the statutory fiction is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... med never to have existed and therefore in my view the provision as to five years must be taken as never to have been there in section 15 of the Act of 1940 and any plea which might have been open to an assessee on the ground of five years' period would not be available to him. It was next contended that the notice was under section 13 of the Excess Profits Tax Act and because it was not given during the assessing period, the section is not applicable and the only notice which could be given was a notice under section 15, and as no such notice had been given the Department had no power to levy excess profits tax. In the first place this question was never raised at any stage of the proceedings before the Department or the Appellate T ..... X X X X Extracts X X X X X X X X Extracts X X X X
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