Income Tax Ordinance (XXXI of 1979)---

----Ss.59(1), 62 & First Sched., Part I---Income Tax Appellate Tribunal Rules, 1981, R.20(2)---Self-assessment---Senior citizen rebate-"Return of assessee was proceeded under normal law and the tax paid was less than the tax paid for the last year---First Appellate Authority annulled the assessment on the ground that assessee was entitled to rebate of 50% being senior citizen and tax was paid after deducting the said rebate-- Validity---Order of First Appellate Authority did not suffer from any illegality ---Assessee being senior citizen was entitled to tai rebate and his return was qualified to be accepted under Self-Assessment Scheme---First Appellate Authority was justified in annulling the assessment made under S.62 of the Income Tax Ordinance, 1979-- Order of the First Appellate Authority was upheld by the Appellate Tribunal.

Ahmad Kamal, D.R. for Appellant.

Nemo for Respondent.

Date of hearing: 23rd August, 2003.

ORDER

JAVED TAHIR BUTT (ACCOUNTANT MEMBER)----This appeal has been filed by the Revenue against the order of, the CIT(A) agitating the annulment of the assessment completed under section 62 of the Income Tax Ordinance, 1979.

2. The DR is present for the Revenue while none appeared on behalf of the assessee,/respondent. Therefore, the appeal is decided ex parte on merits under rule 20(2) of the ITAT Rules, 1981.

3. Brief facts of the case are that the return filed under the Self Assessment Scheme declaring income of Rs.1,63,000 was proceeded under normal law as tax paid by the assessee was less than the tax paid for last year. The Assessing Officer in the absence of books of account and documentary evidence rejected the declared version and estimated sales at Rs.18,00,000 on which G. P. rate of 15% was applied and after allowing profit and loss account expenses at Rs.38,000, net income of the assessee was determined at Rs.2,32,000. In appeal, the CIT(A) after considering the arguments of the AR of the assessee as well as after examination of the record observed that the assessee being the senior citizen was entitled to tax rebate of 50% as per Part I of the First Schedule and that the appellant paid tax after deducting the said rebate, and, thus, the return qualified under the Self-Assessment Scheme and the Assessing Officer erred in excluding the return from the Self-Assessment Scheme on the basis of short payment of tax. The CIT(A) therefore, annulled the assessment made under section 62 of the Income Tax Ordinance, 176.

4. We have heard the DR and have also perused the relevant record available on file. The DR repeated the contention of the Department that the return of the assessee did not qualify for acceptance under the Self-Assessment Scheme as the tax paid was less than the tax paid for the last year but the CIT(A) has examined this fact and after examination of the record concluded that the assessee is entitled to rebate of 50% as per Part I of the First Schedule being senior citizen of the country.

5. After gong through the facts of the case, it is observed that the order of the CIT(A) does not suffer from any illegality. The case of assessee being senior citizen of the country entitled to tax rebate qualified to be accepted under Self-Assessment Scheme. The CIT(A) was justified in annulling the assessment made under section 62 of the Income Tax Ordinance, 1979. We decline to interfere in the order of the CIT(A) which is upheld.

6. Resultantly, the departmental appeal fails.

C.M.A/996/Tax(Trib.)Appeal dismissed.