1987 (1) TMI 7

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..... ointed out by the Tribunal, the language of the section is quite clear and that a reference is not called for. The assessment of the assessee was completed under section 144 of the Income-tax Act for two sets of defaults : (1) failure to file a return and comply with the notices under section 142(1) ; and (2) failure to comply with the directions under section 142(2A) of the Income-tax Act. Subs .....

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..... t an assessment under sec tion 144 could be completed for non-compliance with the directions under section 142 (2A) and that, when this is one of the reasons for the best judgment assessment, the provisions of section 146 did not apply. It is pointed out that before an application under section 146 is allowed, all the conditions section does not refer to the default under section 142(2A), the asse .....

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..... completed under section 144. In order to have an assessment under section 144 cancelled, an assessee has to satisfy the Income-tax Officer that the three defaults mentioned in sec tion 146 were due to reasonable cause. Once this satisfaction is arrived at, then there is no justification for refusing to reopen the assessment as the terms of section 146 stand completely fulfilled. Learned counsel f .....

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