For the A.Y. 1972-73, assessment was made in the status of AOP consisting of 3 persons.
In appeal, the CIT(A) modified the status from AOP to BOI comprising 2 persons. The Tribunal upheld the decision of the CIT(A). On appeal by the assessee, the Andhra Pradesh High Court reversed the decision of the Tribunal and held as under:
“If the status of the assessee is required to be modified, the only option available to the ITO is to assess the income in the appropriate status, if permitted by law, by issuing a notice to the assessee in that particular status. The CIT(A) was not justified in modifying the status from AOP to BOI.”