- (1.) The petitioner-assessee has approached this Court under Article 226 of the Constitution of India impugning order dated 27.3.1997, Annexure P.5 passed by the Commissioner of Income Tax, Patiala (in short, "the CIT") under section 264 of the Income Tax Act, 1961 (in short, "the Act").
(2.) Briefly, the facts as narrated in the petition may be noticed. The petitioner firm is carrying on business of sale and purchase of fertilizers at Patiala. It filed its return declaring income for the assessment year 1983-84 and the assessment was completed under section 143(3) of the Act on 27.3.1986. The petitioner had disclosed an amount of Rs.5,90,000/- under the Amnesty scheme for the assessment year 1976-77 and 1977-78 and had prayed for deletion of addition on account of unaccounted cash and for credit of this amount. The penalty proceedings under section 271 (1) (c ) of the Act were initiated for concealment of income.
(3.) The petitioner filed a petition under Section 264 of the Act before respondent No.1 with the averments that it had surrendered an amount of Rs.5,90,000/- for the assessment year 1976-77 and 1977-78 and the said amount remained invested in the business from the said date and was available even during the assessment year in question as well i.e. 1983-84. The petition under Section 264 of the Act having been rejected by respondent No.1, the petitioner has approached this Court by way of present petition.;