TMI Blog2016 (1) TMI 1382X X X X Extracts X X X X X X X X Extracts X X X X ..... d his own reasons for the conclusion reached. Whether it is an administrative order or judicial order, the reasons for conclusion or decision taken has to be recorded in the order itself. The reason for the conclusion reached in the order cannot be substituted by way of filing an affidavit or document in a proceeding that may take place at a later stage. By placing reliance on the judgment of Apex Court in S.N.Mukherjee[1990 (8) TMI 345 - SUPREME COURT] no reason to interfere with the order of the Principal Commissioner. However, the Assessing Officer is expected to make an independent enquiry. Therefore, we direct the Assessing Officer to conduct an independent enquiry and pass a speaking order by recording his own reasons without being ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reliance on the unreported judgment of Bombay High Court in CIT v. Fine Jewellery (India) Ltd. in Income Tax Appeal No.296 of 2013 dated 3rd February, 2015, the Ld.counsel submitted that if the Assessing Officer conducted an enquiry and accepted the claim of the assessee, it is not necessary to discuss the same in the assessment order. The fact that the assessment order does not contain any discussion with regard to enquiries made by the Assessing Officer and the reasons for the decision taken, it does not mean that the Assessing Officer has not applied his mind. The very fact that the Assessing Officer raised specific enquiries during the course of assessment proceedings showed that the Assessing Officer applied his mind to the facts of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his own reasons for the conclusion reached. Whether it is an administrative order or judicial order, the reasons for conclusion or decision taken has to be recorded in the order itself. The reason for the conclusion reached in the order cannot be substituted by way of filing an affidavit or document in a proceeding that may take place at a later stage. We find that the Punjab Haryana High Court had an occasion to examine this issue in CIT v. Sunil Kumar Goel [2005] 274 ITR 53. The Punjab Haryana High Court, after considering the judgment of the Constitutional Bench of the Apex Court in S.N.Mukherjee v. Union of India, AIR 1990 SC 1984, has observed as follows: In S.N.Mukherjee v. Union of India, AIR 1990 SC 1984, a Constitution Bench ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ined to look at things objectively uninfluenced by considerations of policy or expediency whereas an executive officer generally looks at things from the stand point of policy and expediency. Reasons, when recorded by an administrative authority in an order passed by it while exercising quasi-judicial functions, would no doubt facilitate the exercise of its jurisdiction by the appellate or supervisory authority. But the other considerations, referred to above, which have also weighed with this court in holding that an administrative authority must record reasons for its decision, are of no less significance. These considerations show that the recording of reasons by an administrative authority serves a salutary purpose, namely, it exc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (Guj): The necessity of giving reasons flows as a necessary corollary from the rule of law which constitutes one of the basic principles of the Indian Constitutional set-up. The administrative authorities having a duty to act judicially cannot therefore decide on considerations of policy or expediency. They must decide the matter solely on the facts of the particular case, solely on the material before them and apart from any extraneous considerations by applying pre-existing legal norms to factual situations. Now the necessity of giving reasons is an important safeguard to ensure observance of the duty to act judicially. It introduces clarity, checks the introduction of extraneous or irrelevant considerations and excludes or, at any ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o record tangible and cogent reasons for upsetting well reasoned orders passed by the Assessing Officer and the Commissioner of Income-tax (Appeals). It should have directed its attention to the language of sections 271D and 271E of the Act in conjunction with other provisions of the same family and then decided by a reasoned order whether the respondent had been able to make out a case for deleting the penalty. The order passed by the Tribunal should have clearly reflected the application of mind by the learned members. 5. In view of the judgment of Apex Court in S.N.Mukherjee (supra), the judgment of Bombay High Court in Fine Jewellery (India) Ltd. (supra) may not be applicable to the facts of the case. By placing reliance on the ju ..... X X X X Extracts X X X X X X X X Extracts X X X X
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