Reopening of tax assessment: production of legible documents supporting reasons to believe, including Settlement Commission order.

Validity of reopening of assessment focused on adequacy and accessibility of documents relied upon to form "reasons to believe"; HC directed respondent to furnish legible copies of all materials relied on, including the referenced Settlement Commission order, with non-pertinent portions redacted. The court granted relief permitting the taxpayer (or representative) to request a specified list, and required production within two weeks of such request. The remedy addresses document unreadability and ensures access to the evidentiary basis for reopening, without adjudicating substantive tax liability.

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Issues: (i) Whether, before reopening assessment under Section 147 of the Income-tax Act, 1961, the Assessing Officer must provide legible copies of the documents relied upon to form reasons to believe and permit the assessee an opportunity to file submissions and receive personal hearing.

Analysis: The petition challenged the adequacy and legibility of documents said to constitute reasons to believe that income had escaped assessment for the relevant assessment years. The material filed was not clearly legible and it was unclear whether missing portions were redactions or poor photocopies. The procedural fairness of a reopening under Section 147 is examined in the context of whether the assessee has been provided the materials on which the reasons to believe are founded, and whether opportunity is given to respond before a reasoned assessment order is passed. The remedial measures directed include provision of legible copies (with permissible redaction), a mechanism for the assessee to request specific documents, an obligation to disclose any additional material intended to be relied upon, a timeframe for the assessee to file further submissions, provision of personal hearing with advance notice, disclosure of judgments intended to be relied upon at hearing, and requirement of a reasoned assessment order addressing submissions.

Conclusion: The relief directing provision of legible copies of documents relied upon for reasons to believe, allowing the assessee time to make further submissions, granting personal hearing with advance notice, requiring disclosure of any additional material and judgments to be relied upon, and directing that a reasoned assessment order be passed within specified timelines is granted in favour of the assessee.

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