“The law declared by the Supreme Court binds all and cannot be brushed aside.” Raising the same issues against the same assessee on regular basis is nothing but just loss of invaluable judicial time at costs public revenue, noted the Bombay High Court.
15 Oct, 2014, New Delhi: On one hand where the all the Courts have unimaginable backlog to clear off, an appeal presented by Income Tax department made the High Court of Bombay furious. “The law declared by the Supreme Court binds all and cannot be brushed aside” rising the same issues against the same assessee on regular basis is nothing but just loss of invaluable judicial time at costs public revenue, noted the Bombay High Court.
HC summoned and slammed the senior officials of the Income Tax department, for an appeal presented by CIT against Reliance Infrastructure Ltd in Bombay High Court. The officials from the income tax department presented an appeal in High Court on a point that had already been covered against the Income Tax department by the Honorable Supreme Court. Income Tax department ignored the order of the Tribunal passed in favour of the assessee in CIT v/s Tulsyan NEC Ltd 330 ITR 226 (SC) and re produced the matter against the assessee in High Court.
High Court passed an order to summon and secure the attendance of the highest officers of the Income Tax department in order to make it clear to not only the IT department but to the entire nation at large that the Article 141 of the Constitution of India abides all. As per Article 141 all the judgments passed by the Supreme Court of India bounds the entire nation and Revenue department is not an exception. It was stated that unless there is a distinction, addition or amendment in the subject matter there should be no reason why Revenue department must take liberty of presenting a matter in front of the High Court that has already been ruled by the highest Court in the Country.
Bombay high Court made is clear that they had to demand presence of the highest officials of the Revenue department so as to compliance of the principles of natural justice, fairness and equity prevail. Before dismissing the appeal, the High Court made it clear that if there is a judgment that has been passed against the Income Tax department by the Supreme Court of India, the IT department must gracefully acknowledge and accept it. Apart from reminding the department about Article 141 of the constitution of India, the Judge further added that as per mandate of the Constitution enshrined in Article 261(1) gives of absolute faith as well as credit to the public acts, public records as well as the judicial proceedings of the union and of every State (Court).
The appeal was dismissed as the highest officials Income Tax department apologized for the mistake and promised not to repeat such behavior again. For another similar article on harassment by assessing officer, click here http://www.itrtoday.com/tag/complain-against-income-tax-assessing-officer/
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