TaxTMI 
TaxTMI 
2026 (5) TMI 1415
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.... convenience and brevity. 3. The grounds of appeal raised by the assessee, in quantum appeal, in ITA No. 76/Rjt/2026 are as follows: 1. Hon'ble CIT(A) erred in law by confirming re-opening of the assessment by Ld. AO without providing reasons recorded along with satisfaction u/s 151 after filing of return of income against notice u/s 148. Hence, the re-opening of the assessment is invalid in terms of SC's decision in case of GKN Driveshaft Limited. 2. Hon'ble CIT(A) erred in law by confirming re-opening of assessment u/s 147 based on "Reason to Suspect" & not "Reason to believe" by Ld. AO. 3. Hon'ble CIT(A) erred in law by confirming re-opening of assessment u/s 147 by Ld. AO as the case is reopened only for conducting roving inquiry and verification and without considering the facts submitted by the appellant during investigation proceedings and shown in ITR. 4. Hon'ble CIT(A) erred in law by confirming the assessment u/s. 144 r.w.s. 147 & 144B without issuing notice u/s 143(2) by Ld. AO which is sine qua non for assessment. 5. Hon'ble CIT(A) erred in law by confirming addition only on the basis of surmises an....
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....er made addition on account of Short Term Capital Gain of Rs. 30,05,000 (3250000-245000). 5. Aggrieved by the order of the assessing officer, the assessee carried the matter in appeal, before learned CIT(A), who has enhanced the assessment and confirmed the addition made by the assessing officer. Therefore, the assessee is in appeal before this Tribunal. 6. Shri Dushyant Maharshi, Ld. Counsel for the assessee, argued that notice u/s 143(2) of the Act, has not been issued to the assessee, by the Assessing Officer, during the reassessment proceedings, therefore the reassessment order framed by the Assessing Officer is bad in law and may be quashed and for that Ld. Counsel relied on the judgment of the Hon'ble Supreme Court in the case of Hotel Blue Moon [2010] 188 Taxman 113 (SC). 7. Shri Maharshi, further argued that reasons recorded by the assessing officer under section 147 of the Act is also bad in law. The confirming reopening of the assessment by AO without providing reasons recorded along with satisfaction u/s 151 after filing of return of income against notice u/s 148 of the Act, is not acceptable in the eye of law. Hence, the re-opening of the assessment is invalid ....
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.... assessment by following the procedure like issue of notice under Sections 143(2)/142 and complete the assessment under Section 143(3). This Section does not provide for accepting the return as provided under Section 143(i)(a). The assessing officer has to complete the assessment under Section 143(3) only. In case of default in not filing the return or not complying with the notice under Sections 143(2)/142, the assessing officer is authorized to complete the assessment ex-parte under Section 144. Clause (b) of Section 158 BC by referring to Section 143(2) and (3) would appear to imply that the provisions of Section 143(1) are excluded. But Section 143(2) itself becornes necessary only where it becomes necessary to check the return, so that where block return conforms to the undisclosed income inferred by the authorities, there is no reason, why the authorities should issue notice under Section 143(2). However, if an assessment is to be completed under Section 143(3) read with Section 158-BC, notice under Section 143(2) should be issued within one year from the date of filing of block return. Omission on the part of the assessing authority to issue notice under Section 143(2) canno....
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....ction 37(2) provides that "the provisions of the Code relating to searches, shall so far as may be, apply to searches directed under Section 37(2). Reading the two sections together it merely means that the methodology prescribed for carrying out the search provided in Section 165 has to be generally followed. The expression "so far as may be has always been construed to mean that those provisions may be generally followed to the extent possible. The learned counsel for the respondent has brought to our notice the observations made by this Court in the case of Maganlal Vs. Jaiswal Industries, Neemach and Ors., [(1989) 4 SCC 344], wherein this Court while dealing with the scope and import of the expression "as far as practicable" has stated "without anything more the expression as far as possible' will mean that the manner provided in the code for attachment or sale of property in execution of a decree shall be applicable in its entirety except such provision therein which may not be practicable to be applied." 16. The case of the revenue is that the expression 'so far as may be apply indicates that it is not expected to follow the provisions of section 142, sub-sec....