JUDGMENT

RANGANATHAN, J.: —The Income-tax Act, 1961 replaced the Indian Income-tax Act, 1922 w.e.f. 1-4- 1962. The repeal of the earlier Act necessitated the enactment of transitional provisions to facilitate the change over. Perhaps the simplest course would have been to provide that the new Act would apply to all proceedings for the assessment year 1962-63 and thereafter. The legislature, however, evolved a more complicated procedure. While Section 297(1) of the new Act declared that the Indian Income-tax Act, 1922 stood repealed by the new Act, subsection (2) of the above section made detailed and meticulous provisions in clauses (a) to (m) as to whether the new Act or the old Act will govern in the various situations dealt with therein. These provisions have led to a lot of litigation and the controversy in this appeal also arises out of one such provision. We are here with the scope of proceedings for reassessment in respect of assessment year prior to 1962-63 and the answer to the question before us turns on the provisions of the following two sections of the 1961 Act:

"Section 297

297(1) xxx xxx xxx

(2) Notwithstanding the repeal of the Indian Income-tax Act, 1922 (11 of 1922)