Patent-settlement expenditure treated as commercially expedient revenue outlay, with foreign-law restrictions inapplicable before the prospective amen...
Recording reasons before issuing a reassessment notice and obtaining sanction based on independent application of mind are jurisdictional requirements. The note explains that undated recorded reasons and an undated sanction are invalid where the sanctioning authority merely writes "yes" or "approved" on a prescribed proforma without demonstrating consideration of the material. Such mechanical approval vitiates the reassessment proceedings. On these facts, the reassessment and consequential assessment order were quashed as bad in law, while other grounds became academic.
Recording reasons before issuing a reassessment notice and obtaining sanction based on independent application of mind are jurisdictional requirements. The note explains that undated recorded reasons and an undated sanction are invalid where the sanctioning authority merely writes "yes" or "approved" on a prescribed proforma without demonstrating consideration of the material. Such mechanical approval vitiates the reassessment proceedings. On these facts, the reassessment and consequential assessment order were quashed as bad in law, while other grounds became academic.
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