The court has the jurisdiction to issue directions to complete the assessment for the years which otherwise would be barred by limitation, as Section 153(3) of the Income-tax Act, 1961, is a substantive provision of law which provides that the provisions of Sub-sections (1) and (2) shall not apply to certain classes of assessments, reassessments and recomputations which may be completed at any time.

( 1 ) THIS appeal is against tl5e judgment and order of Sabyasachi Mukharji J. dated November 27, 1975 [cachar Plywood Ltd. v. Income-tax Officer whereby the connected rule was discharged.

( 2 ) THE petitioner-appellant is an assessee under the Income-tax Act, 1961, and was being duly assessed till the assessment year 1969-70 by the Income- tax Officer, "a" Ward, Karimganj. The Central Board of Direct Taxes passed the following order in respect of the assessee on December 23, 1972. FNo. 185/141/72-IT (AI)Central Board of Direct Taxes, new Delhi, 23-12-72. OEDER

( 3 ) NO. 572-J. In exercise of the powers conferred by Sub-section (1) of section 127 of the IT Act, 1961 (43 of 1961), and of all other powers enabling it in this behalf, the Central Board of Direct Taxes hereby transfers the case, the particulars of which are mentioned in column 3 of the Schedule hereto annexed from the Income-tax Officer mentioned in column 4 to the Income-tax"officer mentioned in column 5 thereof. Sl. No. G. I. R. No. Name of the assessee From Income-tax Officer To Income-tax Officer 1 2 3 4 5 1 C-3 Cachar Plywood Ltd. , Oliviacherra, Cachar. I. T. O. , A-Wd. , Karimganj I. T. O. CC XXXIII, Cal. This order shall take effect from 8-1-73. "

( 4 ) THEREAFTER, in pursuance thereof, the Income-tax Officer, Central Circle XXXIII, Calcutta, issued a notice to the appellant on February 20, 1973, calling upon it to produce certain documents in connection with the assessment year 1970-71 under Section 143 (2) of the Act. The appellant challenged the aforesaid order of the Central Board of Direct Taxes by an application under article 226 of the Constitution on grounds, inter alia, that the order did not contain any reasons for transfer as required by law, and the connected rule was issued on this application on the concerned Income-tax Officers, the Commissioner of Income-tax, Central Circle, the Secretary, Central Board of Direct Taxes and the Union of India. The rule was contested by the respondents and on hearing the parties the rule was discharged by the impugned order under appeal.

( 5 ) AS the appeal came up for hearing, learned Advocate-General conceded that in view of the decision of the Supreme Court in Ajantha Industries v. Central Board of Direct Taxes , wherein it was held that recording of reasons in the order of transfer and its communication to the assessee are mandatory, it is no longer possible for him to urge the validity of the impugned order which did not record any reasons. The appeal, accordingly, has to be allowed and the order of transfer of the case to the Income-tax Officer, Central Circle XXXIII-Calcutta, dated December 23, 1972, in consequence has also to be quashed. It may be mentioned here that after the discharge of the rule on November 27, 1975 [cachar Plywood Ltd. v. Income-tax Officer , the Income-tax Officer, Central Circle XXXIII-Calcutta, had completed the assessment in respect of the aforesaid years though, under order of the appeal court, the orders have not been communicated to the appellant.

( 6 ) THE learned Advocate-General submits that while passing the aforesaid order, the court should also pass appropriate directions, under Section 153 (3) of the Act, otherwise it would no longer be possible for the original Income-tax Officer to make assessments of the income of the appellant for the assessment years 1970-71, 1972-73, 1973-74 and 1974-75, which under Sub-section (1) of Section 153 would be barred by limitation. He further submitted that unless such directions, which the statute authorises, are given, by reason of the mere pendency of the proceeding, the assessee would reap an unfair and improper advantage which was never their claim in the writ petition.

( 7 ) THE relevant provisions are as follows: 153. Time limit for completion of assessments and reassessments.-- (1) No order of assessment shall be made under Section 143 or Section 144 at any time after-the expiry of-" (i) four years