S.263 and Reassessment

Last updated: 25 January 2008

Court :
SC

Brief :
Therefore, keeping in view the facts and circumstances of the instant case and, in particular, having regard to the fact that the Commissioner exercising its revisional jurisdiction reopened the order of assessment only in relation to lease equalization fund which, was not the subject of the reassessment proceedings, the period of limitation provided for under sub-section (2) of section 263 would begin to run from the date of the order of original assessment and not from the order of reassessment. The revisional jurisdiction, having, thus, been invoked by the Commissioner beyond the period of limitation, it was wholly without jurisdiction, rendering the entire proceeding a nullity. [Para 15]

Citation :
Commissioner of Income-tax, Chennai v. Alagendran Finance Ltd. CIVIL APPEAL NO. 3301 OF 2007 DECIDED ON 27 2007.