2026 (8) TMI 1484

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.... dated 29.03.2019 issued under Section 148 of the Income Tax Act, 1961 (for short "the Act") and the order dated 04.10.2019 disposing of the objections raised by the petitioner for reopening the assessment. 2. It is the case of the petitioner that for the Assessment Year (AY) 2012-13, it had filed its return of income on 22.09.2012 declaring total income of Rs. 21,32,370/-. Further Revised Return of Income was filed on 31.03.2014. In Computation of income, there is mention of shares details in Prissm Remedies Pvt. Ltd. under the head "Income From Short Term Capital Gain" and the audit report contains the Non-current investment details in schedule "E" in which 3,10,000 Equity shares invested in Prissm Remedies Pvt. Ltd. and 3,10,000 Equit....

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.....03.2015 under section 143(3) of the Act was passed. 4. Subsequently, the respondent issued a notice dated 29.03.2019 under section 148 of the Act seeking reopening of the assessment alleging that the income has escaped assessment for the AY 2012-13 and asked the petitioner to file the return. The petitioner replied by a letter dated 03.04.2019 requesting the respondent to give a copy of the reasons recorded therein. Thereafter, vide letter dated 22.04.2019, the respondent had supplied the reasons for re-opening. 5. Learned advocate Mr. Mehta has submitted that the reopening of the assessment is nothing but a mere change of opinion, as the issue with regard to the undervaluation of shares was already examined in the scrutiny assessmen....

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....sel Mr. Patel has submitted that the Assessing Officer upon receipt of this information and after due independent application of mind on the material upon the information so received, had reason to believe that such loss claimed by the splitting was not genuine and income chargeable to the extent of Rs. 3,06,60,000/- has escaped assessment due to failure on the part of the petitioner to disclose fully and truly all material facts necessary for the assessment. He has submitted that there is a new tangible material in the form of information received from the DDIT, that such loss claimed by the petitioner is pursuant to stock splitting. Upon receipt of such information, the respondent independently applied his mind and has recorded reason to ....

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....ome reflects that the purchase of the shares has been made on higher price cost, whereas the sale has been made on a very lower side. Accordingly, the petitioner was asked to furnish the rates of shares of Prissm Remedies Pvt. Ltd. between 05.01.2012 to 20.03.2012. The petitioner was also asked to furnish the details of unquoted shares held by it during the last two years and the next two subsequent years, and the capital gain/loss shown/offered by it. Further explanation was also sought to explain the sale of such shares at a lower cost with supporting evidence and accordingly, the petitioner furnished all the details to the Assessing Officer. The petitioner also explained the working of valuation of shares of Prissm Remedies Pvt. Ltd. ....