TaxTMI 
TaxTMI 
TaxTMI 
2018 (3) TMI 1359
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....ommissioner of Income-tax, dated 17 October 2016 and the order passed on 3 October 2017, disposing of the objections raised by the Petitioner. 3. The Petitioner filed its return of income for the Assessment Year 2011-12, declaring its total income as Nil, after claiming exemption under Section 10(1) of the Act. The date of the assessment order was 31 March 2012. Scrutiny assessment proceedings were initiated and a notice was issued on 22 February 2013. The Petitioner filed its response on 13 July 2013. Thereafter, the explanation given by the Petitioner was accepted and the scrutiny assessment proceedings were closed by an order dated 30 December 2013. 4. A notice under Section 148(1) of the Act was issued to the Petitioner on 17 October ....
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....reopening of an assessment being strictly satisfied. This is for the reason that a reopening of an assessment would disturb an settled position by reopening a completed proceeding. Normally, the jurisdictional requirements to be satisfied for issuing of an reopening notice are as under: (a) the Assessing Officer must record his reasons/grounds for issuing a reopening notice before issuing the same; (b) the Assessing Officer should have reason to believe that income chargeable to tax has escaped assessment and the same must be recorded/revealed in his reasons/grounds; (c) the Assessing Officer should not have considered the issue on which the reopening is sought during the regular assessment proceedings. In case the issue has been cons....
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....e notice only a prima facie and not a conclusive case of income escaping assessment should be established to turn down a challenge to the reopening notice." 7. In Tao Publishing Pvt. Ltd. vs. Deputy Commissioner of Income-tax and anr. [2015] 370 ITR 135 (Bom), the Division Bench of this Court (Sanklecha and N.M. Jamdar, )has observed thus : "9. The learned counsel for the petitioner rightly pointed out that the ground that the petitioner had failed to disclose all the relevant material was not incorporated in the reasons supplied to the petitioner. The object of furnishing reasons for reopening, is to put the assessee to notice as to why the Assessing Officer has reason to believe that income has escaped assessment. Apart from this positi....
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....hat any income chargeable to tax has escaped assessment, to reassess the income. Section 147, however, contains a proviso that no action under section 147 will be taken after a period of expiry of four years of the end of the relevant assessment year, unless the assessee had failed to disclose fully and truly all material facts necessary for his assessment for that assessment year. It is settled law that the conditions specified in section 147 are jurisdictional requirements and unless they are fulfilled no proceeding under these sections can be taken. It is open for the assessee to challenge the initiation of the reassessment proceedings, if the assessee is able to show that the jurisdictional requirements are not met. The Assessing Office....
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....oom Cultivation as Agricultural Income. These include - a) Certificate from Directorate of Agriculture certifying that Mushroom growing is agricultural activity. b) Registration Certificate from Ministry of Civil Supplies, Consumer Affairs and Public Distribution (Weight and Measures) stating the product to be fresh mushrooms (vegetable). c) VAT assessment order confirming that the assessee is dealing in mushroom and that gross turnover is exempt from tax as per entry no.23 (fresh vegetables and fruits) of Schedule D of VAT Act, 2005 being Agricultural Sale/Income. d) Letter from Goa State Pollution Control Board stating that since growing and processing of tropical mushrooms is an agricultural activity, clearance from Board is not ....
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....whether the Respondent is entitled to invoke jurisdiction under Sections 147, 148 of the Act. In the order disposing of the objections, after referring to some decisions, many of them relate to the reopening of assessment prior to four years, the respondent No.1 has observed in two lines thus: "Further, the income chargeable to tax has escaped assessment by reason of the failure on the part of the assessee, on account of not disclosing fully and truly all material facts necessary for the assessment year. Hence, such omission on your part tantamounts to failure due to non-disclosure of full & true material facts by you. Re-opening proceedings were initiated with approval of higher authorities." 12. By only stating in one line that these o....