Back
DHIRAJ SINGH THAKUR, KAMAL KHATA
Welcome Plywood Pvt. Ltd. – Appellant
Versus
Income-tax Officer – Respondent
JUDGMENT :
(Kamal Khata, J.)
1. This Petition under Article 226 challenges notice under section 148 of the Income-tax Act, 1961 (‘Act’) dated 13th March 2015 issued by Respondent No.1 proposing to reassess the income for the assessment year (‘AY’) 2009-10 and the order dated 30th December 2015, rejecting the objections raised by Petitioner challenging the validity of the said notice.
2. The reasons for opening are as under:
A search and survey action was carried out by investigation wing in the case of Shri Praveen Kumar Jain and his groups on 01.10.2013. The search action resulted into collection of evidences and other findings which conclusively proved that Shri Praveen Kumar Jain through a web of concerns run and operated by him, is engaged in providing accommodation entries of various nature like bogus unsecured loans, bogus share application and bogus sales (Purchase for the Beneficiaries) etc. As per the information received, it is seen that the foll
The main legal point established in the judgment is that the AO is not entitled to reopen the assessment on a change of opinion where primary facts necessary for assessment are fully and truly disclo....
The reopening of an assessment under the Income Tax Act requires the Assessing Officer to provide specific reasons linking alleged income escapement to the taxpayer's records, which must not solely r....
Point of law: It is no doubt true that the Court cannot go into the sufficiency or adequacy of the material and substitute its own opinion for that of the Income Tax Officer on the point as to whethe....
The main legal point established in the judgment is that the jurisdictional conditions for invoking section 147 – 148 of the Income-tax Act, 1961 must be satisfied, and there should be no failure to ....
The main legal point established is that there must be a rational connection or live link between the material coming to the notice of the Income-tax Officer and the formation of his belief that ther....
Under section 147 of the Act the proceedings for the reassessment can be initiated only if the Assessing Officer has reason to believe that any income chargeable to tax has escaped assessment for any....
Point of Law : Formation of belief by the Assessing Officer at the stage of initiation of action under section 147 of the Act is within the realm of subjective satisfaction.
Reopening of assessment under Section 148 is impermissible if it is based on previously examined issues without new material.
The main legal point established is that the AO cannot reopen the assessment on a change of opinion when the primary facts necessary for assessment are fully and truly disclosed.
The court established that reopening assessments requires a clear and valid reason to believe that income has escaped assessment, which was not present in this case.
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
