COMMISSIONER OF INCOME-TAX Vs. DEPUTY COMMISSIONER OF INCOME-TAX

JUDGEMENT

(1.) HEARD the learned counsel for the appellants.

(2.) NONE appears for the respondent though served.

(3.) THIS income tax appeal is directed against the order dated 16th July 2007 whereby the Income Tax Appellate Tribunal (for short 'the Tribunal') dismissed the M.P.No.67/Bang/2007. By that petition, the appellant sought disposal of ITA Nos.614 -616/1997 on merits in view of the directions issued by this Court vide order dated 28th September 2006 in ITA No.260/2001. The relevant observations made in the order dated 16 -07 -2007 read thus: The rival contentions in regard to the above petition have been very carefully considered. The finding of the Tribunal in this case was that the High Court in its order had given a clear ruling to the effect that the proceedings have not been invalidated, but requires to be re -examined. This was on the basis that the person concerned is one of the legal heirs and there are few more legal heirs in the property that devolves on any person, who could be more than one. Principles of natural justice demand that each of those legal heirs receiving the property or claiming to have a share in the property would have necessarily to be heard. The civil dispute with regard to who are the legal heirs are still to be resolved and since all the legal heirs have to be brought on record and heard as heard. The purpose is that each of those persons would have to realize that the property that is received by them is subject to tax demands of the Department that may be raised consequent to the assessment on the deceased. The Tribunal having remanded the issue to the file of the Assessing Officer to bring on record all the legal heirs and await the conclusion of the civil dispute was only the probable course available. There being no mistake apparent on the records, the petition is dismissed."