Union Of India & Anr. vs British India Corporation Ltd. & Ors.

The Supreme Court upheld the High Court's decision to quash the orders of the Inspecting Assistant Commissioner and the Income Tax Appellate Tribunal, directing a refund of Rs. 32,85,964 to the respondent-assessee. The Court clarified that the regular assessment orders were barred by time, referencing Section 12 of the Business Profits Tax Act, 1947, and the principles established in CIT v. Narsee Nagsee and Co. (1960) 40 ITR 307 (SC). The Court emphasized that the refund applications were valid despite the rejection by the assessing officer, as the provisional assessments were independent of the regular assessments that were quashed.