https://www.taxtmi.com/caselaws?id=445653 The Bombay HC quashed a section 147 reopening assessment, holding that the department failed to justify reopening despite petitioner's non-reply. The court found that in buy-sell transactions, only net income can be taxed, not gross amounts from both transactions. The department erroneously added both buy and sell amounts without considering contra entries. The petitioner's net income fell below the taxable threshold for the assessment year, meaning no chargeable income escaped assessment. The HC set aside the section 148 notice, assessment order, demand notice, and penalty notice. en-us Tue, 07 Nov 2023 00:00:00 +0530 Wed, 15 Apr 2026 14:57:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=445653 The Bombay HC quashed a section 147 reopening assessment, holding that the department failed to justify reopening despite petitioner's non-reply. The court found that in buy-sell transactions, only net income can be taxed, not gross amounts from both transactions. The department erroneously added both buy and sell amounts without considering contra entries. The petitioner's net income fell below the taxable threshold for the assessment year, meaning no chargeable income escaped assessment. The HC set aside the section 148 notice, assessment order, demand notice, and penalty notice. Case-Laws Income Tax Tue, 07 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=445653