2020 (2) TMI 1399

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e submission of the learned counsel for the petitioner that though the scrutiny assessment order dated 30.5.2006 was passed under Section 143(3) of the Income Tax Act, 1961 and does not specifically discuss the deduction claimed by the petitioner under Section 80IB(10) of the Income Tax Act, 1961, nevertheless there were adequate disclosure for the deduction claimed under the aforesaid provision before the Assessing Officer vide 2 letters dated 4.4.2006 of its Chartered Accountant. He refers to the copies of these letters. 3. It is further submitted that the assessment order dated 30.5.2009 allowing the above deduction was revised by the Commissioner of Income Tax on 24.3.2009 under Section 263 of the Income Tax Act, 1961 and the deduction....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... for the purpose of Section 147 of the Income Tax Act, 1961. 8. It is further submitted that Explanation to Section 80IB(10) giving retrospective effect from 1.4.2001 vide Finance Act, 2004 does not give a right to respondent to reopen the completed assessment as ingredients to 1st proviso to Section 147 would still be required to be satisfied. 9. The learned counsel for the petitioner also drew my attention to the decision of the Division Bench of Gujarat High Court in the case of Sadbhav Engineering Ltd, vs. Deputy Commissioner of Income Tax, (2011) 333 ITR 483 (Gujarat) wherein dealing with amendment to Section 80IA retrospectively would not entitled the Department to reopen the Assessment under Section 148 of the Act for the purpose o....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ment was made consequent to the introduction of new amendment by way of explanation to sub-section 10 of Section 80 IB by the Finance Act, 2009 with retrospective effect from 01.04.2001 which says that the benefit of this deduction shall not be allowed to any undertaking which executes the housing project as a works contract. The reason for reopening was also communicated by this office letter dated 29.11.2011. 14. (b). Whether the assessed company has executed the eligible projects by way of works contract or as a developer-cum-builder needs to be examined only during the course of assessment proceedings and deciding the issue otherwise before going to the facts and circumstances of the case is premature and not correct." 14. I have cons....