While giving effect to the order of the Tribunal dated 30.04.2009, the Asst. Commissioner cannot determine the total income of the assessee at Rs.16,21,630/-, in which a part of the award received from the said TV game show is included. Learned Assessing Officer while giving effect to the order of the Tribunal is expected to function within the parameters of law. As it appears, the learned Assessing Officer has exceeded its jurisdiction and power while giving effect to the order of the Tribunal which has become final.
This shows utter disregard to the orders of the Tribunal, which is not expected from the Assessing officer, who is subordinate to the Tribunal. Therefore, the order passed under Annexure- 1 which is impugned in this writ petition, is not only erroneous, but also error in law. It is necessary to make an observation that the impugned order under Annexure- 1 lacks judicial propriety. Hence, the order is liable to be quashed, which we direct. The assessee is entitled to get refund of the entire advance tax of Rs.7,55,500/- along with interest, as provided under the Act and we accordingly direct the Asst. Commissioner of Income tax, Circle-2(2), Cuttack to do so.
Before parting with the judgment, we feel it necessary to observe that in view of the various communications made by the Assessing Officer to the petitioner which have been quoted in the body of the writ petition, it is difficult to disbelieve the contentions taken by the Assessee in paragraph-4 of the writ petition that being scared of initiation of prosecution and imposition of 300% penalty and on the assurance of refund of the amount paid as advance tax along with interest @ 12% per annum, the Assessee paid advance tax of Rs.7,55,500/- on 30.03.2008 as directed by the Assessing Officer and finally filed the return on 14.02.2002. The letter of the Asst. Commissioner, Income Tax shows that he deputed one A.Karim for the purpose of making full payment of advance tax by the assessee.
This is certainly not a healthy practice on the part of the authorities acting on behalf of the Revenue in the matter of collection of tax. In order to gain faith of the assessees and create confidence in the minds of the tax payers and for smooth administration of tax law, the Revenue authorities must act in a fair and legal manner.
