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943-wp-264-2022.doc

IN THE HIGH COURT OF JUDICATURE AT BOMBAY

CIVIL APPELLATE JURISDICTION

WRIT PETITION NO. 264 OF 2022

Regency Nirman Ltd.

1^st f氀漀氀漀rⰀ  Regency H氀漀sseⰀ 

Near Aman TalkiesⰀ 

Ulhasnagar – 421003

...Petiti氀漀ner

vs.

1. Assistant C氀漀mmissi氀漀ner 氀漀f Inc氀漀me-taxⰀ 

Central Circle – 4Ⰰ  ThaneⰀ 

6^th f氀漀氀漀rⰀ  B-WingⰀ  Ashar IT ParkⰀ 

R氀漀ad N氀漀. 16ZⰀ  MIDCⰀ 

Wagle Indl. EstateⰀ  Thane – 400 604.

2. Principal C氀漀mmissi氀漀ner 氀漀f Inc氀漀me-taxⰀ 

CentralⰀ  PsneⰀ 

Aayakar SadanⰀ  B氀漀dhi T氀漀wersⰀ 

Salisbry ParkⰀ  GsltekadiⰀ 

Psne – 411 037.

3. Uni氀漀n 氀漀f IndiaⰀ 

Thr氀漀sgh the J氀漀int Secretary & Legal AdviserⰀ 

Branch SecretariatⰀ 

Department 氀漀f Legal AffairsⰀ 

Ministry 氀漀f Law and JssticeⰀ 

2^nd Fl氀漀氀漀rⰀ  Aayakar BhavanⰀ  M.K. MargⰀ 

New Marine LinesⰀ  Msmbai – 400 020.

...Resp氀漀ndents

****

Mr. J.D. Mistri i/b Mr.Atsl Karsandas Jasani f氀漀r petiti氀漀ner.

Mr.Ssresh Ksmar f氀漀r resp氀漀ndents.

CORAM : K.R. SHRIRAM &

N. J. JAMADARⰀ  JJ.

DATE : 8^th MARCHⰀ  2022

JUDGMENT (PER N.J. JAMADARⰀ  J.) :

1.

The challenge in this petiti氀漀n is t氀漀 a n氀漀ticeⰀ  dated 18^th March

Shraddha Talekar, PS

1/14

SHRADDHA

KAMLESH

TALEKAR

Digitally

signed by

SHRADDHA

KAMLESH

TALEKAR

Date:

2022.03.16

16:22:17

+0530

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2021 isssed snder secti氀漀n 148 氀漀f the Inc氀漀me Tax ActⰀ  1961 (‘the

Act’) and the 氀漀rder dated 3^rd September 2021Ⰰ  whereby and

wheresnderⰀ  the 氀漀bjecti氀漀ns raised by the petiti氀漀ner t氀漀 the

pr氀漀p氀漀sed re氀漀pening 氀漀f assessment f氀漀r the assessment year 2013-

14Ⰰ  came t氀漀 be rejected.

2.

The petiti氀漀ner is a limited c氀漀mpany inc氀漀rp氀漀rated snder the

C氀漀mpanies ActⰀ  1956. It is engaged in the bssiness 氀漀f real estate

devel氀漀pment. F氀漀r the assessment year 2013-14Ⰰ  the petiti氀漀ner fled

retsrn 氀漀f inc氀漀me 氀漀n 29^th N氀漀vember 2013. It was acc氀漀mpanied by a

Tax Asdit Rep氀漀rt snder F氀漀rm N氀漀.3CD. A revised retsrn was fled

氀漀n 27^th N氀漀vember 2014. The petiti氀漀ner’s case was selected f氀漀r

scrstiny assessment. N氀漀tices were isssed t氀漀 the petiti氀漀ner snder

secti氀漀n 142(1) 氀漀f the Act. The petiti氀漀ner wasⰀ  inter-aliaⰀ  directed t氀漀

ssbmit details 氀漀f snsecsred l氀漀ans in the prescribed f氀漀rmat. The

petiti氀漀ner fsrnished reqsisite details and gave the inf氀漀rmati氀漀n as

s氀漀licited. The petiti氀漀ner fsrnished the d氀漀csments discl氀漀sing the

identityⰀ  creditw氀漀rthiness 氀漀f the credit氀漀rs as well as gensineness

氀漀f the l氀漀an transacti氀漀nsⰀ  inclsding ackn氀漀wledgment 氀漀f inc氀漀me tax

retsrns and acc氀漀snt statements evidencing the transacti氀漀ns

thr氀漀sgh banking channel. Up氀漀n dse satisfacti氀漀nⰀ  the Assessing

Offcer passed an assessment 氀漀rder snder secti氀漀n 143(3) 氀漀f the

Shraddha Talekar, PS

2/14

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Act 氀漀n 26^th Febrsary 2016.

3.

On 23^rd Jansary 2018Ⰰ  a search acti氀漀n snder secti氀漀n 132 氀漀f

the Act was carried 氀漀st qsa petiti氀漀ner and its gr氀漀sp c氀漀ncerns.

P氀漀st search pr氀漀ceedingsⰀ  again the petiti氀漀ner was called sp氀漀n t氀漀

fsrnish inf氀漀rmati氀漀n/explanati氀漀n by n氀漀tices dated 16^th Febrsary

2018 and 8^th March 2018Ⰰ  t氀漀 which the petiti氀漀ner gave ssitable

reply. On 10^th September 2018Ⰰ  a n氀漀tice snder secti氀漀n 153A 氀漀f the

Act f氀漀ll氀漀wed. EventsallyⰀ  in the pr氀漀ceedings snder secti氀漀n 153 氀漀f

the ActⰀ  after c氀漀nsiderati氀漀n 氀漀f the replies ssbmitted and

inf氀漀rmati氀漀n fsrnished by the petiti氀漀nerⰀ  the Assessing Offcer

passed an assessment 氀漀rder snder secti氀漀n 143(3) read with

secti氀漀n 153A 氀漀f the Act 氀漀n 23^rd December 2019 and accepted the

ssbmissi氀漀ns 氀漀f the petiti氀漀ner.

4.

As the pr氀漀ceedings st氀漀氀漀d thss cl氀漀sedⰀ  the resp氀漀ndent N氀漀.1

isssed the impsgned n氀漀tice 氀漀n 18^th March 2021 snder secti氀漀n 148

氀漀f the Act asserting that he had a reas氀漀n t氀漀 believe that inc氀漀me

chargeable t氀漀 tax has escaped assessment. Up氀漀n being reqsestedⰀ 

vide c氀漀mmsnicati氀漀n dated 17^th Jsne 2021Ⰰ  the resp氀漀ndent N氀漀.1

fsrnished the reas氀漀ns.

5.

The ssbstance 氀漀f reas氀漀ns which weighed with the

resp氀漀ndent N氀漀.1 was that M/s. Jineshwar M