BIHAR SCHOOL EXAMINATION BOARD V. THE CHIEF COMMISSIONER OF INCO

CWJC/78/2011

AI Insights

The Bihar School Examination Board (BSEB) filed a petition under Article 226 of the Constitution challenging an order dated 9th November 2010 by the Deputy Commissioner of Income Tax, Circle I, Patna, concerning objections filed by the petitioner related to the re-opening of assessment for the year 2008-09. The petitioner argued that as an examining body involved in educational activities, it was exempt from tax under the Income-tax Act, and thus, the objections should not have been rejected. However, during the pendency of the petition, a re-assessment order was made, rendering the challenge to the initial order infructuous. The petitioner also sought to challenge the re-assessment order but failed to amend the petition as directed by the court, leading to the dismissal of the petition on the grounds of alternative statutory remedy and procedural non-compliance.

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 744811 (HC-PATNA)
• Appeal Type: Others
• Pronouncement Date: 07-03-2014
• Assessment Year: misc
• Laws Referred To: Article 226 of the Constitution, Income-tax Act
• Result in Favour of: Revenue
• Court: HIGH COURT
• Department Lawyers: ARCHANA SINHA; SUMAN MISHRA
• Assessee Lawyers: D V PATHY; PURNENDU SINGH
• Keywords: Alternative statutory remedy; Educational Activities; Re-assessment; Tax Exemption
• Section: 226

Judgement Text

"IN THE HIGH COURT OF JUDICATURE AT PATNA Civil Writ Jurisdiction Case No.78 of 2011 ====================================================== Bihar School Examination Board (BSEB) Through its Chairman, Patna. .... .... Petitioner Versus 1. The Chief Commissioner of Income Tax, (CCA), Patna, Income Tax Buildings, R- Block, Patna-1 2. The Joint Commissioner of Income Tax, Circle-1, Patna, Lok Nayak Jai Prakash Bhawan, D.B. Road, Patna. 3. The Deputy Commissioner of Income Tax, Circle-1, Patna, 3rd Floor, Lok Nayak Jai Prakash Bhawan, D.B. Road, Patna. 4. Assistant Commissioner of Income Tax, Circle-1, Patna, 3rd Floor, Lok Jai Prakash Bhawan, D.B. Road, Patna. .... .... Respondents ====================================================== Appearance : For the Petitioner/s : Mr. D V Pathy, Advocate Mr. Purnendu Singh, Advocate For the Respondent/s : Mrs.Archana Sinha, Sr. SC Mr. Suman Kumar Mishra, Advocate ====================================================== CORAM: HONOURABLE THE CHIEF JUSTICE and HONOURABLE MR. JUSTICE ASHWANI KUMAR SINGH CAV ORDER (Per: HONOURABLE THE CHIEF JUSTICE) 20 07-03-2014 This Petition under Article 226 of the Constitution has been filed by the Bihar School Examination Board to challenge the order dated 9th November 2010 made by the Deputy Commissioner of Income Tax, Circle I, Patna, in respect of the objections filed by the petitioner. The matter is in respect of the re-opening of the order Patna High Court CWJC No.78 of 2011 (20) dt.07-03-2014 2/3 of assessment for the assessment year 2008-09. The petitioner claims that petitioner is an examining body and as such is connected with the educational activities. The petitioner is, therefore, exempt from payment of tax under the Income-tax Act. The objections filed by the petitioner, therefore, ought not to have been rejected. Since the rejection of the objection filed by the petitioner, pending this Petition, the order of re-assessment has been made. In view of the order of re-assessment made by the respondent authorities, the challenge to the order dated 9th November 2010 shall not survive. The Petition has thus become infructuous. The petitioner had sought to challenge the order of re- assessment in the present Petition. The petitioner filed Interlocutory Application No.1414 of 2011 for amendment of the writ petition. The said application was allowed by a Bench of this Court on 22nd February 2011. The Court directed that the amendment be carried out within five days from the date of the order. Today we are informed that the petitioner has failed to carry out the amendment. Learned advocate Mr. Purnendu Singh has submitted that it was through oversight that he did not carry out the amendment and that he be permitted to amend the pleadings even now. We do not suppose that any fruitful purpose would be served by amending the Petition at this stage. Against the order of re-assessment, the petitioner has statutory remedy of appeal. The Petition is, therefore, without prejudice to the rights and contentions raised in the present petition, disposed of on the ground of alternative statutory remedy of appeal available to the Patna High Court CWJC No.78 of 2011 (20) dt.07-03-2014 3/3 petitioner. Interim relief stands vacated. mrl (R.M. Doshit, CJ) (Ashwani Kumar Singh, J) "