2024 (12) TMI 917 - SCH - Income Tax

Supreme Court Dismisses Petition Due to 437-Day Delay; Insufficient Cause for Condonation of Delay Cited.

The SC dismissed the special leave petition as time-barred, citing a delay of 437 days. The application for condonation of delay was denied due to ... Validity of Reopening of assessment u/s 147 - claim under CSR (Corporate Social Responsibility) expenses made was otherwise not allowable and as such, the said claim deserves to be disallowed and to that extent, income of the petitioner has escaped assessment - reliance on audit party opinion As decided by HC [2023 (4) TMI 1305 - GUJARAT HIGH COURT] expenditure incurred is out of Commercial expenses and is fully allowable and further it is the stand of the petitioner that even it is not the case of revenue that expenditure if any for explanation 2 to Section 37 is not allowable expenditure and as such, the fundamental error appears to have been crept in and all details are consisting to computation of income, profit and loss figures and also tax audit report which are forming part of the assessment records, still in the absence of any tangible material, the respondent authority is trying to take a different view despite the original scrutiny of assessment is done. Under the circumstance, the action sought to be initiated is impermissible and we are of the considered opinion that a case is made out by the petitioner to call for interference. Petition allowed. HELD THAT:- The special leave petition is barred by 437 days delay. We have looked into the application for condonation of delay. Cause shown is absolutely insufficient. The application for condonation of delay stands rejected. Special leave petition stands dismissed as time barred. The Supreme Court dismissed the special leave petition as time-barred due to a delay of 437 days. The application for condonation of delay was rejected as cause shown was insufficient. Pending applications were disposed of.