1986 (3) TMI 38

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....s passed on March 7, 1978. The assessee, aggrieved against the order of the Income-tax Officer under section 143(3) read with section 148, filed an appeal before the Commissioner of Income-tax (Appeals), Rajasthan. Learned Commissioner of Income-tax (Appeals) by his order dated March 27, 1980, allowed the appeal taking the view that in the facts and the circumstances of this case, it was only question of change of opinion on the basis of the facts existing at the time of original assessment and the provisions of section 147(b) could not be attracted. The Revenue, aggrieved against the order of the Commissioner, went in appeal before the Income-tax Appellate Tribunal, Jaipur Bench, Jaipur. The Tribunal, by order dated December 7, 1981, allow....

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....ebit balance in the 8 accounts mentioned in the audit note was Rs. 16.8 lakhs over and above the debit balance of Rs. 8,47,274 considered by the Income-tax Officer at the time of original assessment. The Tribunal thus was clearly of the opinion that it was a case of receiving subsequent information by the Income-tax Officer which was not considered by him at all at the time of the original assessment. The audit note which only pointed out certain facts was subsequent information within the meaning of section 147(b) of the Income-tax Act. The assessee then filed an application under section 256(1) for making the reference to this court which was dismissed by the Tribunal by order dated December 20, 1982. Mr. Keshote, learned counsel for t....

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....8, of the Karnataka High Court in Writ Petition Nos. 446 and 447 of 1978 T.T. Pvt. Ltd. v. ITO [1980] 121 ITR 551, whereby the High Court allowed the assessee's writ appeals challenging the reassessment notice issued by the Income-tax Officer on the basis of a report of the internal audit party of the Income-tax Department. In the above special leave, their Lordships have specifically limited the question to considering the correctness of the decision of the Supreme Court in Indian and Eastern Newspaper Society v. CIT [1979] 119 ITR 996. We have given our thoughtful consideration to the facts and circumstances of the case and the arguments advanced by learned counsel for both the parties so far as the proposition laid down in. Eastern Ne....