9911796707
TMI Blog1984 (6) TMI 73X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that the trust had invested funds with United Traders with 20 per cent share in its profits, and the other partners of the firm included relatives of the trustees. He, therefore, came to the conclusion that, in view of the provisions of section 13(1)(c) read with section 13(2)(h), the income of the trust was not eligible for exemption under section 11. Hence, the assessment proceedings were reopened under section 147(b) of the Act and the exemption claimed under section 11 was denied to the assessee following the decision of the Tribunal in IT Appeal Nos. 316 and 437 (Bang.) of 1981 dated 12-8-1982 for the assessment years 1977-78 and 1978-79 in the appellant's own case, following their earlier decision in IT Appeal No. 392 (Bang.) of 19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d under section 143(1), inasmuch as the provisions of section 143( 1) and the other provisions relating thereto in section 143, constitute a complete code in itself, being special provisions relating to assessment made under section 143(1). In coming to this conclusion, they followed the rule, that the special excludes the general. On behalf of the department, the learned departmental representative submitted that the fields of operation of sections 143(1) and 147(b) are totally different ; that they are not mutually exclusive, and in any case, the provisions of section 147(b) were rightly applied to this case, as the ITO had reason to believe that the income of the assessee had escaped assessment and he came to this conclusion in consequen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... believe that the income of the assessee had escaped assessment and his conclusion in this behalf should be in consequence of information received after the original assessment. Both the conditions in this case are satisfied as held by the AAC in para 5 of his order. Action in this case under section 147(b) was in consequence of the order of the Tribunal in the case of Haji Latif Sait Charitable Trust. Moreover, the decision of the Tribunal in Pithva Engg. Works' case was in respect of an order of rectification under section 154, which for all intents and purposes fell within the purview of the provisions of section 143(2)(b). Since there was a special provision in the shape of section 143(2)(b), the Tribunal held that the recourse to secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g.) of 1981, dated 12-8-1982 that the matter should be restored back to the ITO with a view to enable him to complete the same in accordance with the directions of the Tribunal in its order referred to earlier. The directions referred to in the earlier order are as under : " The same issue had come up before the Tribunal in IT Appeal No. 392 (Bang.) of 1978-79 and the Tribunal in its order dated 18th August, 1979 upheld the contention of the revenue. Following that order, we accept the contention raised by the revenue that section 13(1)(c) is applicable to the case of the assessee. 3. However, it is seen that the provisions of section 13(4) have not been considered by the Income-tax Officer to determine the quantum of exemption availab ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
