Co-operative society's mandatory reserve and share capital fixed deposits with banks-interest treated as business income under 80P(2)(a)(iii) deductio...
Income tax reassessment reopening after four years on investigation tip, without s.147 proviso disclosure failure, struck down as borrowed satisfactio...
ITAT allowed the assessee's appeal and quashed the reassessment proceedings. It held that for AY 2013-14, the statutory time limit for issuing notice u/s 148 expired on 31.03.2020, whereas the AO issued notice on 16.04.2021, rendering it time-barred and invalid. Further, sanction for issuance of notice was obtained from the PCIT instead of the competent authority, the PCCIT, vitiating the proceedings. The Tribunal held that such foundational defects in jurisdiction and sanction are not curable u/s 292BB, and consequently the reassessment was invalid.
ITAT allowed the assessee's appeal and quashed the reassessment proceedings. It held that for AY 2013-14, the statutory time limit for issuing notice u/s 148 expired on 31.03.2020, whereas the AO issued notice on 16.04.2021, rendering it time-barred and invalid. Further, sanction for issuance of notice was obtained from the PCIT instead of the competent authority, the PCCIT, vitiating the proceedings. The Tribunal held that such foundational defects in jurisdiction and sanction are not curable u/s 292BB, and consequently the reassessment was invalid.
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