2002 (2) TMI 49

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....ers and their families only. The petitioner's contention was upheld by this court in CIT v., Trivandrum Club [1989] 177 ITR, 550 in respect of the year 1974-75. During the course of reassessment proceedings for the assessment year 1992-93, the Income-tax Department found that there is a hall which is used for marriage purposes and the hall is booked by non-members also. The Department came to the conclusion that it is hired out to non-members also and there are separate forms for booking the hall for members and non-members with separate rates of fees. That is called "Rules and conditions for hiring Sree Subramanya Hall, Trivandrum, by non-members of the dub". Therefore, the earlier decision was not applicable. Based upon that, the subseque....

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.... reason for formation of the belief that there has been escapement of the income of the assessee from assessment and it must be held in good faith and should not be a mere pretence. It was pointed out by Sri George K. George that in Phool Chand Bajrang Lal v. ITO [1993] 203 ITR 456 (SC) during the course of assessment for a subsequent year information was received that they never lent money to any person during past years also and that constituted sufficient reason for reopening previous year's assessment also. As far as this case is concerned, according to the Department, during reassessment proceedings of 1992-93 assessment year, information was received that the hall was being given on rent for non-members also not only in 1992 but al....