| Case ID |
09070cfb-e5c1-41bb-ab62-cc29b29a6654 |
| Body |
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| Case Number |
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| Decision Date |
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| Hearing Date |
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| Decision |
The Kerala High Court ruled that the time taken for affording an opportunity of being heard to the assessee in compliance with the proviso to section 129 of the Income-tax Act, 1961, should be excluded when calculating the time limit for completing the assessment under section 153. The court emphasized that once the assessee elected to avail themselves of the opportunity of being heard, they could not later argue that such an opportunity was unnecessary or that its duration should not affect the limitation period. The Tribunal's decision to uphold the Commissioner (Appeals) was deemed justified, reinforcing the importance of adhering to statutory requirements and the consequences of the assessee's conduct in the proceedings. |
| Summary |
In the case of Crossfield Traders v. Commissioner of Income Tax, the Kerala High Court examined the implications of time limits for assessments under the Income-tax Act, 1961, specifically under sections 129 and 153. The court found that the time taken for the assessee to be heard after requesting a hearing from the successor Income Tax Officer (ITO) should be excluded from the assessment deadline, thereby affirming the Tribunal's ruling. This case highlights the procedural nuances and the significance of the assessee's actions in tax assessment proceedings. It serves as an important reference for future cases regarding assessment timelines and the rights of taxpayers to be heard in the reassessment process. The decision reinforces the principle that taxpayers must be mindful of their requests and interactions with tax authorities, as these can impact legal timeframes and procedural outcomes. Essential keywords include 'Income Tax Act', 'Assessment Year', 'Reassessment', 'Time Limit', and 'Opportunity of Hearing'. |
| Court |
Kerala High Court
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| Entities Involved |
Not available
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| Judges |
K.S. Paripoornan,
K.A. Nayar
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| Lawyers |
P. Balachandran,
P.K.R. Menon
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| Petitioners |
Crossfield Traders
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| Respondents |
Commissioner of Income Tax
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| Citations |
1989 SLD 2668 = (1989) 179 ITR 606
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| Other Citations |
K. Venkata Ramana and Budha Appa Rao v. CIT [1987] 168 ITR 747 (AP)
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| Laws Involved |
Income-tax Act, 1961
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| Sections |
153,
129,
144B
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