2026 (2) TMI 1237

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....ty of reopening of assessment, as well as addition on merits. 3. Shri Suresh Kumar appear for the assessee submits that the assessment for AY 2009-10 in the case of assessee was reopened and notice u/s. 148 of the Act was issued on 30.03.2016. He contended that the notice u/s. 148 of the Act and the proceedings arising therefrom are bad in law. Referring to the proforma wherein approval was sought by the Assessing Officer (AO) from the Principal Commissioner of Income Tax for reopening of assessment, he submitted that the very foundation for reopening is based on incorrect facts. The ld. AR pointed that in the approval form, the AO has mentioned that no voluntary return of income was filed by the assessee. However, the assessee had filed....

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....ce to the return filed by the assessee. While passing the reassessment order, the Assessing Officer himself acknowledges that the return was filed under section 139(4) of the Act. This clearly demonstrates non-application of mind at the stage of recording reasons and seeking approval. The approval granted by the Competent Authority also appears to have been accorded in a mechanical manner without examining correctness of the factual foundation. Here it would be relevant to refer to Form for recording the reasons for initiating proceedings u/s. 148 of the Act and obtaining approval from PCIT. The same is extracted herein under:- A bare reading of the above Form would show that against Column No.8(a) whether any voluntary return has alread....

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....state :- (a) Whether any voluntary return has already been filed; and : No (b) If so, the date of filing the said return NIL 9. If the answer to item 8 is in the negative, Please state (a) The income originally assessed (b) Whether it is case of under assessment, assessment at too low a rate, assessment which has been made the subject of excessive relief or allowing of excessive loss or depreciation. Whether the provisions of Sec.50(1) are applicable. If the reply is in the affirmative, the relevant facts may be stated against item No. 11 and it may also be brought out that provisions of sec. 150(c) would not stand in the way of initiating proceedings under section 147. Reasons for the belief that income has escaped assessment. ....