TARAJAN TEA COMPANY PRIVATE LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) ON the prayer of the assessee, the Tribunal referred 7 (seven) questions for opinion of this Court under S. 256(1) of the INCOME TAX ACT, 1961 (for short, "the Act"). After hearing Mr. J.P. Bhattacharjee, learned senior counsel for the assessee, and Mr. D.K. Talukdar, learned counsel for the Revenue, we are of the opinion that to pinpoint the real issues, the questions may be reframed and accordingly by order dt. 12th Aug., 1991, we have reframed the questions and the said three reframed questions are quoted below :

(2.) THE present reference relates to the asst. yrs. 1972 -73, 1973 - 74 and 1974 -75. The controversy in the present reference is for reopening of the assessment under S. 147 of the Act.

(3.) THE assessee objected to the reopening of the proceedings which was rejected by the ITO and after considering the merits of the case the officer held that sale of trees of spontaneous growth were not capital receipts nor was it agricultural income and "they"were of the nature of revenue receipts and as such assessable to tax. The reassessment orders are available at Annexures -D1, D2 and D3.