2022 (4) TMI 624

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....014-15. The case was selected for scrutiny under CASS and assessment under section 143(3) of the Act was completed on 28.12.2016 assessing total income of Rs. Nil.   3] Thereafter, petitioner received notice dated 31.03.2021 asserting that respondent No.1 has reasons to believe that petitioner's income chargeable to tax for A.Y. 2014-15 has escaped assessment within the meaning of section 147 of the Act. Petitioner after fling fresh return of income requested respondent No.1 to provide copy of reasons recorded for reopening, which was provided by a letter dated 26.10.2021. The reasons read as under : XXXXXX "2. Basis of forming reasons to believe and details of escapement of income - While going through the case record, it is reve....

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....state that there was any failure on the part of petitioner to disclose fully and truly all material facts necessary for its assessment for the relevant assessment year, it will not be fatal to the assumption of jurisdiction under sections 147 and 148 of the Act. We would certainly agree with Mr. Sharma but as held in Crompton Greaves Ltd. (Supra), this is subject to the rider that there must be cogent and clear indication in the reasons supplied, that in fact there was failure on the part of the assessee to disclose fully and truly all the material facts necessary for its assessment. If the factum of failure to disclose can be culled from the reasons in support of the notice seeking to reopen assessment, that will certainly not be fatal to ....