Can a minor be an assessee under the Income-Tax Act, 1961?
Yes. Minor child of an assessee father has been treated as assessee for assessment of capital gain in the Assistant Commissioner of Income Tax vs Madan Lal Bassi case, (2004) 88 ITD 57 (Chandigarh-Tribunal) During the re-assessment proceedings for the assessment year 2000-01, the income-tax office has proposed to make an addition in regard to low withdrawals for household expenses. But during the original proceedings, the withdrawals shown were accepted without making any addition on that account. Is the income-tax office entitled to do so? No. In the re-assessment proceedings, the earlier decisions taken cannot be reviewed. Hence, the income-tax office’s proposal to make addition on account of low withdrawals, which were accepted in the original assessment proceedings, will not be legally permissible. This view is supported by the decision of the Punjab and Haryana High Court in the Vipan Khanna vs Commissioner of Income Tax case, (2002) 255 ITR 220. Kindly mention the law relating to
