Ita/4/2010 Of Commissioner Of Income Tax v. Janardhan Mishra

(Amitava Roy, J) Heard Mr. U. Bhuyan, learned Standing Counsel for the appellant-Revenue and Mr. U.K. Barthakur, learned counsel for the respondent-Assessee. The appellant-Revenue’s pleaded case, is that the respondent-Assessee had been assessed as an individual for the assessment year 1993-1994 on the basis of a return filed by him as well as his income from the �LOC Scam � and an order to that effect was passed on 28.03.2003 u/s.143(3)/147 (Income Tax Act) (hereinafter forshort referred to as the Act). Being aggrieved, the respondent-Assessee preferred an appeal before the Commissioner, Income Tax (Appeals)(hereinafter for short referred to as the CIT (A). By order dated 04.12.2006, the appeal was rejected and the assessment was confirmed. The respondent-Assessee, therefore, took the matter before the Income Tax Appellate Tribunal Gauhati Bench, Guwahati (hereinafter for short referred to as the Tribunal), which was registered as ITA No.54(Gau)/2007. By order dated 12.03.2008 impugned herein, the learned Tribunal interfered with the order of the CIT(A) and restored the matter to the file of the Assessment Officer with the direction to him to reexamine the issue in the light of the decision of the criminal Court before which the LOC cases filed by the CBI were pending trial. The learned Tribunal further directed the Assessment Officer to provide reasonable opportunity of hearing to the respondent-Assessee. It however, provided a rider that in case the decision of the criminal Court in the LOC cases was not forthcoming within the period of limitation prescribed for making the assessment, the Assessing Officer would pass appropriate order(s) before the expiry thereof. Being aggrieved, the Revenue is in appeal and this Court has formulated the following question of law to be answered- �Whether in a case of re-assessment u/s147 of the Income Tax Act, 1961 where thefoundation of the belief that any income chargeable to tax has escaped assessment is the charge sheet filed against the assessee in a criminal Court, the income tax authorities should await the verdict of the criminal Court or make the assessment independent of the outcome of the criminal trial? �In course of the arguments, it is submitted at the Bar that meanwhile a fresh assessment for the year aforementioned assessment year has been made by the Assessing Officer in terms of the order dated 12.03.2008 of the learned Tribunal and impugned herein and that the said assessment is under challenge before the appropriate forum by the respondent-Assessee. In the above view of the matter, we are of the unhesitant opinion that having regard to the development that had occurred meanwhile, the question of law formulated in the instant appeal does not warrant any decision on merit. The assessment having been made and under scrutiny on merits before the appropriate forum prescribed by law, the logic or reasoning forming the foundation of the impugned order dated 12.03.2008, in the facts and circumstances attendant on the present appeal has lost its significance. This appeal is thus closed. Without offering any comment on the merit of the challenge made herein, the respondent-Assessee would be entitled under law to pursue his relief/remedy under the Act against the assessment made in terms of the order dated 12.03.2008 of the learned Tribunal. No costs.