Back
ARAVIND KUMAR, ASHUTOSH J. SHASTRI
Ball Aerosol Packaging India Private Limited – Appellant
Versus
Assistant Commissioner of Income Tax Circle 1(1)(1), Ahmedabad – Respondent
JUDGMENT :
Ashutosh J. Shastri, J.
1. By way of this petition under Article 226 of the Constitution of India, petitioner has challenged the legality and validity of the impugned notice dated 20.3.2021 at Annexure-A and has also sought for quashing and setting aside the impugned order dated 16.11.201 at Annexure-H to the petition.
2. The background of facts which has given rise to the present petition is that petitioner is engaged in the business of manufacturing of aluminum extruded aerosol containers in various sizes. Petitioner filed its original return of income for A.Y. 2016-17 on 29.11.2016, declaring a total loss of Rs.39,16,25,787/-. Return of the petitioner was processed and case of the petitioner was selected for scrutiny. Notice under Section 142(1) was issued on 11.6.2018, requiring the petitioner to submit specific details relating to (a) increase in share capital along with confirmation and ITR of the persons from whom the same was received, (b) details of premium received on shares along with name, PAN, address and confirmation of the persons from whom same was received and (c) details of method adopted for determining premium of shares.
2.1. Petitioner on receipt of said
Reopening of assessment under Section 148 is impermissible if it is based on previously examined issues without new material.
Reopening of assessment under the Income Tax Act after four years is impermissible without failure to disclose material facts; mere change of opinion does not justify such action.
Reopening of assessment under the Income Tax Act requires tangible new material; mere change of opinion is insufficient.
The court reinforced that reassessment cannot occur without tangible evidence linking the belief of income escaping assessment to the material facts disclosed, emphasizing strict adherence to procedu....
The court emphasized the need for tangible material to believe that income had escaped assessment and held that the power to grant approval for re-opening an assessment is coupled with a duty and can....
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....
The main legal point established in the judgment is that the Assessing Officer must have 'tangible material' to form a reason to believe that income has escaped assessment, especially when issuing a ....
The main legal point established in the judgment is that the expenditure incurred on corporate social responsibility activities under Section 135 of the Companies Act is not to be treated as expendit....
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
