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2017 (1) TMI 1657
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....nder Section 148 of the Income-tax Act, 1961 [hereinafter referred to as, "the Act"] by which the Assessing Officer has sought to reopen the assessment for Assessment Year 2009-2010 which, as such, is beyond the period of four years from the date of the relevant assessment year. 2. Facts leading to the present Special Civil Application in nutshell are reproduced as under :- 2.1 The petitioner filed return of income for A.Y 2009- 2010 declaring total income at Rs. 11,44,114/-. It is the case on behalf of the petitioner-assessee that assessee earned income from salary, house property, capital gain and income from other sources during the year under consideration and that the assessee did not earn any business income. That, the Assessing....
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....icable to assessee. However, the assessee failed to comply with provisions of Section 14A r.w. Rule 8D of the I.T Act, 1961. The amount of such disallowance is worked out at Rs. 15,62,757/-. In view of the above facts, I have reason to believe that by reason of failure on the part of assessee to disclose fully and truly all material facts necessary for his assessment, an amount of Rs. 15,62,757/- has escaped assessment. Accordingly, I am satisfied that the income chargeable to tax has escaped assessment and hence, it is a fit case for reopening the assessment within the meaning of Section 147 of the Act." 2.2 That, on receipt of the reasons recorded to reopen the assessment, the assessee raised objection vide communication dated....
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....resent case, the assessment for A.Y 2009-2010 is sought to be reopened beyond the period of four years, and therefore, unless and until there is any failure on the part of the assessee in disclosing true and correct facts necessary for assessment, the Assessing Officer has no jurisdiction to reopen the assessment. 3.2 It is further submitted by Shri Hemani, learned counsel for the petitioner that the petitioner disclosed interest expenses of Rs. 21,59,130/- in the Profit & Loss account and disclosed investment of Rs. 7,14,35,074/- in the Balance-sheet. It is submitted that even the exempt income of Rs. 7,35,122/- has been duly disclosed in the return of income. It is submitted that the details of investments were also furnished at the or....
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....d is unjustified. It is submitted that therefore, the impugned notice under Section 148 of the Act deserves to be quashed and set aside. 3.4 Shri Tushar Hemani, learned counsel for the petitioner has also further submitted that the in fact, the impugned notice for reopening the assessment is nothing but a change of opinion by the subsequent Assessing Officer. It is submitted that originally the petitioner's case was selected for scrutiny and various details were called for by the then Assessing Officer; including the details in respect of investments made during the year under consideration. It is submitted that the petitioner vide letter 19th July 2011 duly furnished requisite information; including the details in respect of investm....
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....ailure on the part of the assessee in not disclosing true and correct facts, and therefore, the impugned notice issued under Section 148 of the Act is legal and valid. 4.1 Making the above submissions, it is requested to dismiss the present petition. 5. Heard learned advocates appearing on behalf of the respective parties at length. 6. At the outset, it is required to be noted that in the present case, the assessment for A.Y 2009-2010 is sought to be reopened beyond the period of four years. Therefore, unless and until the condition precedent to assume jurisdiction to reopen the assessment beyond the period of four years, as per the provisions of Section 147 of the Act are satisfied, it is not open for the Assessing Officer to reop....