2013 (3) TMI 197

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....e appeal preferred by the Revenue for assessment year 2002-03. Facts in brief:- 2. The assessee is a domestic company incorporated on 9th November 1933, with an object of encouraging and promoting the game of cricket in India and elsewhere. For the assessment year 2002-03, the assessee filed its return of income on 30th October 2002, declaring total income of Rs. 29,94,900. Assessment under section 143(3) of the Income Tax Act, 1961 (for short "the Act") was completed on 31st January 2005, determining total income at Rs. 1,63,06,610. For the assessment year 2005-06, the assessee filed its return of income on 29th October 2005, declaring total income of Rs. 56,05,143. The assessment was completed under section 143(3), determining the t....

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.... 31 March 2000 the term 'standard rent' (section 7(14)(a)) is defined to mean "where the rent is fixed by the Court or the Bombay Rents, Hotel and Lodging House Rates Control Act, 1947 , such rent plus an increase of 5% in the rent so fixed'. The rent collected by the assessee club was that fixed under the Bombay Rents, Hotel and Lodging House Rates Control Act, 1947." 5. The assessee sought time to obtain original agreement's extract particularly of Maharashtra Rent Control Act and Bombay Rents, Hotel and Lodging House Rates Control Act, 1947. As the evidence, as called for, has not been filed, the Assessing Officer has estimated the assessee's income from house property at Rs. 50,00,000. 6. On appeal, the assessee challenged the re-....

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....se, representing the Revenue, submitted that the Assessing Officer has asked the assessee to lead evidence that the Rent Control Act is applicable to the assessee. He referred to the order of the Assessing Officer wherein certain documentary evidences were sought and submitted that none of these documents were furnished by the assessee. He, referring to the order passed by the Assessing Officer and submitted that the first appellate authority has not looked into any of these documentary evidences called for by the A.O. and has simply agreed with the submissions of the assessee. He prayed that the issue be restored to the file of Assessing Officer and the assessee be directed to furnish evidence that Rent Control Act applies to the assessee.....

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....pal Taxes. Thus the assessee shown loss of Rs.5,22,053/-. In fact rent income shown by the assessee is much below the fair rent. This has resulted in under assessment of income to the tune of Rs.5,22,053/-. I have, therefore, reason to believe that the income of Rs.5,22,053/- has escaped assessment within the meaning of sec. 147 of the IT Act, 1961. Issue notice under section." 14. The re-opening was within a period of four years and it is not the case of the assessee that there was change of opinion. When the rent received from shops located in North Stand, was Rs. 2,15,910, per annum and when the assessee has shown a loss of Rs. 5,22,053, we are of the considered opinion that the Assessing Officer has reason to believe that income h....