BANAMALI TEA ESTATE Vs. STATE OF ASSAM

JUDGEMENT

(1.) BY this application under Article 226 of the Constitution, the petitioner questions the vires of Rule 11(2)(b)(i) to (ix) of the Assam Agricultural Income-tax Rules, 1939 (for short "the Rules"), as well as the validity of the order of assessment and demand of interest on agricultural income-tax at Rs. 6,093 made by the Agricultural income-tax Officer, Assam, Gauhati (for short "the AITO").

(2.) THE relevant facts are that for the assessment year 1970-71, corresponding to accounting year ending December 31, 1969, the petitioner was finally assessed to pay agricultural income-tax at Rs. 20,628 by the assessment order made by the Agricultural Income-tax Officer on March 14, 1972, who also levied interest of Rs. 6,093, up to March 31, 1972, on the finally assessed agricultural income-tax. THE petitioner had submitted its return of agricultural income on February 24, 1972, which was found correct by the Agricultural Income-tax Officer.

(3.) THE second contention of the petitioner also must be accepted on the authority of New Assam Valley Tea, Co. Ltd., [1976] ALR 46, wherein it has been ruled that interest could be charged only up to "the date of submission of the return" and not beyond that date. As such, the impugned orders marked annexures A and B commanding the petitioner to pay interest beyond February 24, 1972, that is, the date of submission of the return, is also invalid and quashed accordingly.