Commissioner of Income-tax vs Aswab Ali — 1970 SCMR 226

Citation: 1970 SCMR 226

Court: Supreme Court of Pakistan

Year: 1969

Decision Date: 1969-12-31

Headnotes

Case cited as 1970 SCMR 226

Judgment Text

Court Name: Supreme Court of Pakistan Judge(s):Abdus Sattar, Hamoodur Rahman, Sajjad Ahmad Jan, Muhammad Yaqub JUDGMENT Reported As: 1970 SCMR 226 Result: Appeals dismissed Judgment JUDGMENT MUHAMMAD YAQUB ALI, J.--The question which falls for decision in these two appeals is whether certificate proceedings can be taken out against a person who denies his membership of the assessee-firm without serving on him a notice under section 29 of the Income-tax Act and the corresponding section 12 of the Sales Tax Act. The High Court has in a reference under section 66(1) of the Income tax Act answered the question In the negative from which the Commissioner of Income-tax has with the leave of the Court brought these appeals raising the questions :- (i) Whether certificate proceedings can be started against a person who denies his membership of the assessee-firm without issuing a personal notice on him under section 29 of the Income-tax Act or section 12 of the Sales Tax Act ; and (ii) whether after the assessm ent has been completed the Department can enter upon an inquiry and hold that a person who denies his liability to pay tax is a member of the assessee---firm. The relevent facts are that for the account year 1949-50 the Income-tax Officer, Sylhet, completed assessm ent of the firm "Syed Abdul Kaher & Co." on the 28th May 1951. In the absence of a return the Income-tax Officer computed under section 23 (4) the taxable income at Rs. 6,730. On 1-6-1951 notice was issued to the…

Read the full judgment on Al Wakeelo — Pakistan's AI-powered legal research platform.