TaxTMI 
TaxTMI 
2009 (7) TMI 815
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....l course. 3. The Income-tax Officer purporting to have come across certain fixed deposit receipts in the name of the assessee found in the course of recovery proceedings, particularly, by invoking section 226(3) of the Act, had thought it fit to reopen the assessment for the year 2000-01 being of the view that the source of investment for issue of the fixed deposit receipts was required to be explained properly. 4. The assessee's legal heir had been called upon to explain the same by reopening the concluded assessment by issue of notice under section 148 of the Act as per notice dated August 26, 2004 as by that time the assessee was no more, and indicating that the source of investment for the fixed deposit receipts was ....
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....h terms, called upon the assessee to pay an amount of Rs. 3,84,614 which was inclusive of tax and interest. Separate penalty proceedings were directed to be initiated under section 271(1)(c) of the Act. 8. The assessee appealed to the Appellate Commissioner. However, the Appellate Commissioner upheld the action of the Assessing Officer, par-ticularly, being of the opinion, that inclusion of the difference between one-sixth and 50 per cent. of the gross receipt of agriculture towards regular income was justified and accordingly dismissed the appeal though wrongly the order reads the appeal is allowed. 9. In the further appeal to the Tribunal, the Tribunal was of the view that the reopening which was more based on change o....
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....er ?" 11. We have heard Sri Aravind, learned counsel for the appellant-Revenue who has taken us through the orders and also made submissions that the Tribunal could not have held that reopening is bad in law while remanding the matter to the assessing authority for giving a proper opportunity to the legal representative of the assessee for reassessment on the precise ground and it is also submitted that whether in the circumstances the Tribunal could have opined that there was no proper opportunity to the legal representative of the assessee before passing the assessment order. 12. On a perusal of the order of the Tribunal as also the assessment order etc., we find that the Assessing Officer has virtually revised the ass....
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....elief in the return ; (c) where an assessment has been made, but, (i) income chargeable to tax has been underassessed ; or (ii) such income has been assessed at too low a rate ; or (iii) such income has been made the subject of excessive relief under this Act ; or (iv) excessive loss or depreciation allowance or any other allow-ance under this Act has been computed." 15. We are of the clear view that while this also is an escapement for the purpose of section 147 of the Act, nevertheless, the reopening can be only based on information and which should be necessarily from outside and in the present case, the information as from the fixed deposit receipts was not fresh information as the fixed deposit receipts were the subject-matte....