The ITAT Indore ruled on the validity of reopening assessment ...

ITAT Indore held that the reassessment based on invalid reasons is not valid. AO cannot assess independent incomes not part of original reasons u/s 147. Assessee succeeds in appeal.

Case Laws Income Tax

May 22, 2024

The ITAT Indore ruled on the validity of reopening assessment u/s 147 based on information from DDIT (Inv.)-Unit 2(2), Kolkata alleging sham transactions with a shell company. Assessee consistently denied such transactions. Tribunal found no evidence of transactions with the alleged shell company, rendering the reassessment invalid. The AO cannot make new additions unrelated to original reasons u/s 147. The 3rd Proviso restricts AO to reassess only matters not subject to appeal, reference, or revision. Relying on Jet Airways case, the reassessment order was quashed, and the assessee succeeded in the appeal.

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The ITAT Indore ruled on the validity of reopening assessment ...

ITAT Indore held that the reassessment based on invalid reasons is not valid. AO cannot assess independent incomes not part of original reasons u/s 147. Assessee succeeds in appeal.

Case Laws Income Tax

May 22, 2024

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