Opportunity to furnish unsecured-loan confirmations is required before reassessment initiation; proceedings require fresh consideration after taxpayer...
Under-reporting on a first reassessment return attracts penalty, while enhanced misreporting penalty requires proof of a statutory misreporting catego...
HC held that picking up a tax return for scrutiny without prior approval from PCIT/PDIT/CIT/DIT violates procedural guidelines. While tax authorities can select returns for scrutiny based on verifiable tax evasion information under Instruction No. 5/2017, the critical procedural requirement of obtaining jurisdictional authority's approval was not met in this case. The absence of mandatory approval rendered the assessment order invalid, and ITAT's decision to set aside the assessment for AY 2016-17 was upheld as legally sound and procedurally correct.
HC held that picking up a tax return for scrutiny without prior approval from PCIT/PDIT/CIT/DIT violates procedural guidelines. While tax authorities can select returns for scrutiny based on verifiable tax evasion information under Instruction No. 5/2017, the critical procedural requirement of obtaining jurisdictional authority's approval was not met in this case. The absence of mandatory approval rendered the assessment order invalid, and ITAT's decision to set aside the assessment for AY 2016-17 was upheld as legally sound and procedurally correct.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4915 
