JUDGEMENT :

N.R. BORKAR, J.

1. This petition takes an exception to the notice dated 30.03.2021 issued by respondent No.2 under section 148 of the Income Tax Act, 1961 (for short “the Act”) seeking to reopen the assessment for Assessment Year (A.Y.) 2014 -15 and the order on objections dated 13.12.2021 passed by the respondent No.1.

2. The petitioner is a company incorporated under the Companies Act and is engaged in the business of hotels and power generation from windmills.

3. The petitioner fled its original return of income in terms of section 139 of the Act for A.Y. 2014-2015 on 29.11.2014 declaring total income of Rs.26,79,01,280/- after claiming deduction under section 80-IA of the Act amounting to Rs.5,42,49,584/-.

4. Subsequently, the petitioner fled a revised return on 25.03.2016 declaring total income of Rs.16,31,11,500/- after claiming deduction under section 80-IA of the Act amounting to Rs.16,00,18,236/-.

5. The petitioner’s return was selected for scrutiny assessment. The notice under section 142(1) of the Act calling upon the petitioner to file various details / documents to complete assessment was issued. Specific details pertaining to deduction claimed under section 80-IA of the Act with cogent documentary evidences were also sought.

6. Pursuant to the abovesaid notice, the petitioner submitted a copy of the return, computation of income, tax audit report in Form No. 3CD and copy of annual report.

7. According to the petitioner, respondent No.2 during the course of assessment proceedings requested for further details in respect of claim of deduction under section 80-IA of the Act from wind power generation and the same were submitted.

8. According to the petitioner, respondent No.2 after scrutinizing all the details furnished by the petitioner and examining all the issues passed an assessment order dated 09.12.2016 under section 143(3) of the Act and allowed the deduction under section 80-IA of the Act amounting to Rs.16,00,18,236/-.

9. According to the petitioner, inspite of above facts and circumstances, the respondent No.2, after expiry of four years from the end of relevant assessment year, had issued impugned notice dated 30.03.2021 under section 148 of the Act stating therein that he has reason to believe that the petitioner’s income chargeable to tax for A.Y. 2014-15 has escaped assessment within the meaning of section 147 of the Act.

10. The petitioner by a letter dated 28.04.2021 requested the respondent No.2 to drop the reassessment proceedings as according to the petitioner all material facts which were necessary for making the assessment were fully and truly disclosed and there was no escapement of income chargeable to tax. In addition to it, the petitioner requested respondent No.2 to provide reasons recorded for initiating reassessment proceedings as well as approval/sanction of respondent No.3 and provide a copy of tangible material based on which an opinion has been formed that the income chargeable to tax has escaped assessment.

11. Respondent No.2, accordingly, provided the reasons recorded for reopening the assessment. The petitioner on 06.07.2021 submitted its objections to the proposed reassessment.

12. Respondent No.2 thereafter by its letter dated 09.12.2021 intimated to the petitioner about the transfer of reassessment proceeding to National Faceless Assessment Centre. The respondent No.1, thereafter, by impugned order dated 13.12.2021 rejected the objections of the petitioner.

13. We have heard Mr. Pardiwalla, the learned Senior Counsel for the petitioner and Mr. Suresh Kumar, the learned counsel for the respondents- Revenue.

14. Mr. Pardiwalla submits that the existence of a valid reason to believe is a sine qua non for the exercise of jurisdiction under section 147 of the Act. It is submitted that the said reasons to believe cannot be based on surmise or conjecture or an assumption or an audit scrutiny without any independent application of mind by assessing officer.

15. It is submitted that the rea