TaxTMI 
TaxTMI 
2023 (1) TMI 951
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....ity the Act] for A.Y. 2010-11. The impugned order was emanated from the order of the ld. Income Tax Officer, Ward-2(1), Bathinda, (in brevity the AO), order passed u/s 143/147 of the Act date of order 31.10.2017. 2. The assessee has taken the following grounds which reads as under: "1) That the Ld. A.O was not having any relevant material before recording reasons for reopening on which a reasonable person could have formed a requisite belief, further had no reasons to believe that such escapement has occurred by reason of either omission or failure on part of the assessee and is a case of borrowed satisfaction and assessment is bad-in-iaw. 2) That the sanction of Principal CIT, Bathinda for re-opening is mechanical in nature, invalid a....
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....of Goyanka Lime & Chemicals Ltd. (2015) 64 taxman. 313 (SC) and challenged the satisfaction of the Commissioner related to writing 'Yes' against the observation of the ld. AO for approval of reopening u/s 148. He further argued and relied on the Standard Procedure of CBDT dated 10.01.2018 which is binding on the ld. AO. The ld. Counsel has annexed the CBDT Standard Procedure in page no. 246 and 247 of the APB. The relevant paragraph of the Standard Instruction is extracted as below: "i. 1st paragraph: Reasons recorded will include details of the assessee, nature of business activity, brief details of return of income filed earlier along with details of processing of return/ scrutiny assessment/ reassessment proceeding. ii. 2nd paragraph....
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.... of information received/collected/found by the AO and the result of follow up enquiries made by the AO. vi. 5th paragraph: It will include 'basis of reason to believe' along with nature and quantum of income escaping assessment. The AO will draw link between the findings and reasons to believe and will also give a categorical finding that reason to believe is based on his/her application of mind on the facts and information received/collected/found and it is not a case of change in opinion. vii. 7th paragraph: It will give detail and instances along .with corroborative material to prove that the assessee had not disclosed full and truly all material facts necessary for his assessment or that the facts of the case are covered by the Exp....
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....x at 632 of the year 2009-10 rate due to property received on inheritance." 8. We heard the rival submission and relied on the documents available on the record. The entire issue is in two parts, one is legal issue by challenging the jurisdiction of notice u/s 148 and the jurisdiction of the ld. AO related to calculation of capital gain of the assessee without referring the issue to DVO. The last issue was challenged by the assessee in ground no. 4. After a thoughtful consideration from all four amended grounds, we found that the assessing authority had passed the order beyond his jurisdiction by calculating the cost of acquisition on basis of his own assumption. So, the entire issue is setting aside to the ld. AO and the issue should be r....