https://www.taxtmi.com/caselaws?id=443226 The HC set aside the reassessment notices under Section 148 of the Income Tax Act, finding the Assessing Officer's reasons insufficient to form a belief that income had escaped assessment. The court emphasized the need for a reasonable foundation for such notices. Additionally, the court upheld the validity of interest expenditure under Section 36(1)(iii), recognizing the commercial expediency of loans to sister concerns, as the petitioner consistently used its own funds for these loans. The petitions were allowed, and the related orders were annulled. en-us Fri, 15 Sep 2023 00:00:00 +0530 Thu, 29 Feb 2024 15:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=443226 The HC set aside the reassessment notices under Section 148 of the Income Tax Act, finding the Assessing Officer's reasons insufficient to form a belief that income had escaped assessment. The court emphasized the need for a reasonable foundation for such notices. Additionally, the court upheld the validity of interest expenditure under Section 36(1)(iii), recognizing the commercial expediency of loans to sister concerns, as the petitioner consistently used its own funds for these loans. The petitions were allowed, and the related orders were annulled. Case-Laws Income Tax Fri, 15 Sep 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=443226