TaxTMI 
TaxTMI 
2022 (6) TMI 810
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....ecting the petitioner's objection to the aforesaid impugned notice under Section 148 and the proceedings under Section 147 of the Income Tax Act, 1961. Recorded reasons for reopening of assessment under Section 147 of the Act as appears at page 140 of the writ petition are as follows : "Reasons for the belief that Income has escaped assessment "For the Financial year 2009-10 relevant to the assessment year 2010-11, the assessee had debited a sum of Rs. 21,09,18,000/- to the P & L Account under the head "interest". A part of the borrowed fund was utilized by the assessee in acquiring fixed assets under Capital Work in Progress (CWIP). The proportion of CWIP to fixed assets for the FY 2009-10 in case of the assessee company comes out to ....
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....t the escapement was due to omission or failure on the part of the assessee to disclose fully or truly necessary material facts necessary for the assessment and that some new material facts have come to his possession which was not made available by the assessee at the time of regular assessment. It is also admitted position that in this case regular assessment under Section 143(3) of the Act was made and it is not a case of summary assessment. It also appears on perusal of the recorded reasons that the successor of the assessing officer who intends to invoke the provisions of Section 147 of the Act on the ground and by taking a view that the disallowance which was made under Section 36(i)(iii) of the Act in course of regular assessment sh....
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....ation of an amount of disallowance causing alleged escapement of income. Mr. Khaitan, learned senior counsel appearing for the assessee/petitioner relies on a decision of this Court in the case of Calcutta Club Ltd. vs. Income-Tax Officer and Ors. reported in (2020) 426 ITR 157 (Cal) particularly paragraph 30 of the said judgment which is quoted hereunder : "30. Considering the submission of the parties, the relevant records, provisions of law and the decisions relied upon by the parties, in my considered view the impugned notices under Section 148 of the Income-tax Act, 1961 and the proceedings under Section 147 of the Act are not sustainable in law and should be quashed for the reason that admittedly the impugned proceeding initiated u....
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....2005 reflects the ground for reassessment in the present case, that is, the deduction allowed in excess under section 10A and, therefore, the income has escaped assessment to the tune of Rs. 57,36,811. In the order in question dated August 17, 2005, the reason purportedly given for rejecting the objections was that the assessee was no maintaining any separate books of account for the two categories, i.e., software development and human resource development, on which it has declared income separately. However, a bare perusal of notice dated March 9, 2004 which was issued in the original assessment proceedings under section 143 makes it clear that the point on which the reassessment proceedings were initiated was well considered in the origin....
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....n for impugned reopening of the assessment and considering the submissions of the parties, relevant records available and judgments relied upon by the petitioner I am of the considered view that the impugned notice under Section 148 of the Income Tax Act, 1961 and the proceeding under Section 147 of the Act are not sustainable in law and are liable to be quashed for the reason that the respondent assessing officer has been failed to make out any case that the alleged escapement of income was due to any omission or failure on the part of the assessee/petitioner in disclosing fully and truly the material facts necessary in course of regular assessment. In the facts and circumstances of the case in my considered view it is a clear case of chan....