TaxTMI 
TaxTMI 
2018 (10) TMI 1610
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....Year 2013-14, the petitioner had filed the Return of Income on 23.11.2013 showing total income of Rs. 17,870/. The Assessing Officer took the Return in scrutiny and passed the order of assessment under Section 143(3) of the Incometax Act, 1961 (for short, "the Act") on 18.03.2016 assessing the total income at Rs. 18,23,340/. To reopen such assessment, Notice came to be issued, which, as can be seen, was issued within a period of four years from the end of relevant Assessment Year. In order to issue the Notice, the Assessing Officer had recorded the following reasons; "Brief details of the Assessee: The assessee has filed return of income for A.Y. 2013-14 on 23.11.2013 declaring total income of Rs. 17,870/. The assessee is a partner....
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....s combined to his individual capacity as well as Karta of HUF. Further, M/s. Shantai Exim Ltd. has sufficient accumulated profit required for invoking provisions of Section 2(22)(e) of the Act. Section 2(22)(e) of the Act says that dividend includes - any payment by a company, not being a company in which the public are substantially interested of any sum (whether as representing a part assets of the company or otherwise) [made after the 31st day of May, 1987, by way of advance or loan to shareholder, being a person who is the beneficial owner of shareholding not less than ten per cent of the being power, or to any concern in which such shareholder is a member or a partner and in which he has a substantial interest (hereafter in this clause....
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....se truly and fully particulars of the income necessary for assessment. Considering the above facts, I have reason to believe that an amount of Rs. 1,57,86,986/has escaped assessment for the year under consideration. I am satisfied that the case of the assessee is a fit case for taking action u/s.147 of the Act for the year under consideration. 5. Applicability of the provision of Section 147 / 151 to the facts of the case: In this case, a return of income was filed for the year under consideration and assessment order passed on 18.03.2016 since 4 years from the end of relevant Assessment Year has not expired in this case. The only requirement to initiate proceedings u/s.147 is reasons to believe which has been recorded above (refer....
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....fference between shareholding percentage and voting rights (ii) in case of the petitioner, he is holding only 08.32% of the shareholding. 02.00% belongs to his son. Even if the petitioner can be stated to have been holing such shares by way of beneficial interest, he would not acquire voting rights and (iii) the petitioner had made full disclosures. The petitioner did not have the onus of disclosing its shareholding pattern to enable the Assessing Officer to examine the applicability of Section 2(22)(e) of the Act. 5. We may recall, the impugned Notice has been issued within a period of four years from the date of end of relevant Assessment Year. The question of true and full disclosure, therefore, would not be applicable, unless, of cou....