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2011 (6) TMI 329 - AT - Income TaxReopening of assessment - as per AO assessee company was conducting its business operations in India through TPIL and it had a permanent establishment (PE) in India - Held that:- In the present case, there was no basis for the Assessing Officer to have reason to believe that income of the assessee for the year under consideration had escaped assessment and as established by the assessee, the only document which was relied upon by the AO specifically at assessment stage also could not have been the basis for the Assessing Officer to have reason to believe that any income of the assessee for the previous year relevant to assessment year 2001-02 had escaped assessment - As a matter of fact, there being no business carried on by the assessee company in that year, there was no question of earning of income which could be said to have escaped assessment - Therefore, cancel the assessment made by the Assessing Officer under section 143(3) read with section 147 in pursuance of such invalid reopening holding the same to be bad in law and allow the appeal of the assessee on this preliminary issue.
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