Authentication of paper assessment orders upheld, while qualifying repairs, consumables and vendor advance write-offs remain deductible business claim...
Transaction value cannot be rejected solely on non-statutory valuation guidelines without corroborative evidence supporting reassessment of final cust...
Cross-examination rights and corroborated evidence limit customs penalties for misdeclaration in genuine import transactions involving documented clea...
Tariff classification of vehicle gear components follows the specific gearing entry, displacing motor-vehicle parts classification and related liabili...
Reopening of assessment after four years is invalid as the recorded reasons do not mention any failure by the assessee to fully and truly disclose all material facts necessary for assessment. This is covered by the Supreme Court's decision in Canara Bank, where reopening beyond four years was held bad in law when the AO did not allege non-disclosure of material facts. Similar view in ACIT vs Virbac Animal Health India, dismissing the SLP against the High Court order that reopening after four years due to change of opinion was invalid. Regarding bogus purchases, the entire sales turnover is reflected in books, considered for profit determination, and subjected to taxation. VAT returns and output tax paid support the transactions. The assessee provided materials showing the goods purchased were sold to a company, which further sold them to contractors for a thermal plant project. The AO examined these purchase-sale details during original assessment but found no defects. Based on merits and legal aspects, the reassessment initiated after four years without pointing out non-disclosure of material facts, and the addition for bogus purchases, are unjustified and invalid. Decided in favor of the assessee.
Reopening of assessment after four years is invalid as the recorded reasons do not mention any failure by the assessee to fully and truly disclose all material facts necessary for assessment. This is covered by the Supreme Court's decision in Canara Bank, where reopening beyond four years was held bad in law when the AO did not allege non-disclosure of material facts. Similar view in ACIT vs Virbac Animal Health India, dismissing the SLP against the High Court order that reopening after four years due to change of opinion was invalid. Regarding bogus purchases, the entire sales turnover is reflected in books, considered for profit determination, and subjected to taxation. VAT returns and output tax paid support the transactions. The assessee provided materials showing the goods purchased were sold to a company, which further sold them to contractors for a thermal plant project. The AO examined these purchase-sale details during original assessment but found no defects. Based on merits and legal aspects, the reassessment initiated after four years without pointing out non-disclosure of material facts, and the addition for bogus purchases, are unjustified and invalid. Decided in favor of the assessee.
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