Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2014 (7) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (7) TMI 1240 - BOMBAY HIGH COURTReopening of assessment - Deduction claim under Section 80 HHC - Held that:- Jurisdictional requirement of having reason to believe that income chargeable to tax has escaped assessment was not satisfied, as the applicable facts were not considered. The order disposing of the objections records that the effect was given to the order dated 29 December 2013 by him on 15 February 2005. This was undisputedly much after the impugned notice. Therefore, admittedly the impugned notice has been issued on the basis of incorrect facts. On this ground also, we find merit in the submissions made on behalf of the petitioner. In any view of the matter, the stand of the petitioner on merits with regard to interest income being included while computing the claim for deduction under Section 80HHC has been upheld not only by the CIT(A) but also by the Tribunal in its order dated 22 November 2006. Besides the amendment to Section 80HHC (3) of the Act by addition of fifth proviso thereto with retrospective effect will work to the benefit of the petitioner. In the above view of the matter, allowing reassessment proceedings would be a mere academic exercise only because the Assessing officer would bound by the orders of the Tribunal. Moreover, the very basis of the impugned notice dated 10 January 2005 will not be sustainable. In view of all the above reasons, we set aside the impugned notice dated 10 January 2005.
|