SHAHEEN ICE FACTOR VS INCOME-TAX OFFICER, CIRCLE 18, ZONE-A, LAHORE
2002 P T D 148
[Lahore High Court]
Before Mansoor Ahmad, J
SHAHEEN ICE FACTOR
Versus
INCOME-TAX OFFICER, CIRCLE 18, ZONE-A, LAHORE and another
Writ Petition No. 10670 of 1992, heard on /01/.
th
September, 2001. Income Tax Ordinance (XXXI of 1979)---
----S. 59(1)---C.B.R. Circular No.of 1990, dated 25-6-1990---Self -Assessment Scheme---Qualification to avail the Scheme---Assessment year 1990-91---Proceedings for the assessment year 1989-90 had been filed---Income declared for the said year was less than the assessment year 1988-89---Qualification of Return for Self-Assessment Scheme---Validity---No assessment was made for the assessment year 1989-90 as the proceedings were filed and the income last assessed was only in respect of assessment year 1988-89 in which year income assessed was Rs. 79,000 while the assessee declared its income Rs. 48,000 for the assessment year 1990-91 which was less than the income assessed for the assessment year 1988-89, as such the case of the assessee did not qualify for acceptance under Self-Assessment Scheme---Order passed by the Assessing Officer was declared to be in accordance with the Self -Assessment Scheme by the High Court.
Siraj-ud-Din Khalid for Petitioner.
Muhammad Ilyas Khalid for Respondent.
Date of hearing: 28th September, 2001.
JUDGMENT
The petitioner filed the present writ petition from the order, dated 19-9-1992 passed by the Income-tax Officer, Circle 18, Zone-A, Lahore and order, dated 28-10-1992 passed by the Commissioner of Income-tax, Zone-A, Lahore whereby the respondents refused to accept the immunity from detailed scrutiny claimed by the petitioner and further the petitioner sought declaration that his case was qualified under Self -Assessment Scheme for the assessment year 1990-91.
2. Brief facts of the case are that the petitioner which is a Firm and deals with the manufacturing and sale of ice, filed its income return declaring income at Rs. 48,000 for the assessment year 1990-91 under Self-Assessment Scheme. The Central Board of Revenue vide Circular No. 5 of 1990 enforced its Assessment Scheme for the assessment year 1990-91. The petitioner represented to the respondent pointing out that he has filed a return under the Self-Assessment Scheme and as it fulfilled all the requirements, therefore, its case qualifies for acceptance under the Scheme. The respondents held that the case of the petitioner did not qualify under Self-Assessment Scheme. As the income declared in return was not more than the income last assessed for assessment year 1988-89. The petitioner maintained that last assessed income in his case would be income for the assessment year 1989-90 and in that year as the proceedings were filed, therefore, it meant zero income. The Revenue on the other hand contended that as proceedings of income-tax for assessment year 1989-90 were filed therefore, order made for the assessment year 1988-89 would be taken to be an order for ascertaining the income last assessed.
3. I have considered the arguments of the learned counsel for the parties and examined the record. Self-Assessment Scheme for the year through Circular No. 5 of 1990, All returns filed under Self-Assessment Scheme by the existing assesses qualified for acceptance except: returns inter alia in cases where income declared is less than the income last assessed or the income last declared. In para. 6 of the Scheme the expression income last assessed was described and it meant the total income assessed for the latest assessment year prior to the assessment year 1990-9l, as it stands before the last date for filing of return of total income for the assessment year 1990-91. It is thus clear from the scheme itself that income last assessed for the purpose of scheme was the income which was assessed through a proper assessment order prior to the assessment year 1990-91. In the case of the petitioner there was no assessment made for the assessment year 1989-90 as the proceedings were filed and the income last assessed was only in respect of assessment year 1988-89 in which year income assessed was Rs. 79,000. The petitioner while submitting they return under Self-Assessment Scheme declared its income at Rs. 48,000 which obviously was less than the income assessed for the assessment year 1988-89, as such the case of the petitioner did not qualify for acceptance and the impugned order passed by respondent No. 3 was in accordance with the Scheme.
In view of my finding herein before I do not see any substance in the writ petition. Accordingly the same is dismissed.
C.M.A./M.A.K./S-305/L Petition dismissed.