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Continental Construction Ltd vs Commissioner Of Income-Tax, Central-1 on 15 January, 1992

It is only after all these steps are taken that a notice under section 148 can be served on the assessee. Just because the notice has not been served, it cannot be stated that the proceedings for assessment have not commenced or that the proceedings for assessment are not pending. Notice under Section 148 can be served according to him at any time as held by the Punjab and Haryana High Court in the case of Jai Hanuman Trading Co. (P.) Ltd. v. CIT [1977] 110 ITR 36 (FB). Here again, I do not find any merit in the arguments advanced on behalf of the assessee. No doubt certain steps have to be taken before a notice under section 148 can be served on the assessee. All the same, however, all those steps are inter-departmental steps and the proceedings for assessment are not commenced without the service of a valid notice under section 148. If there is no dispute about the fact that the notices under section 148 issued by the ITO originally were not served on the assessee or on her attorney, there is no difficulty in holding that no proceedings for assessment were pending or could be said to be pending as a result of the orders passed by the ITO under Section 146. This being so, it follows as a natural corollary that ITO was justified in entertaining the belief the assessee's income had escaped assessment.
Supreme Court of India Cites 41 - Cited by 2319 - Full Document
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