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2014 (2) TMI 949 - HC - Income TaxLegality of Notice u/s 147/148 of the Act Notice u/s 143(2) of the Act Reopening of assessment - Held that:- The assessee was asked details about the same "fictitious entities" in respect of which amounts were reflected in the returns and documents disclosed at the time of the assessment - there was no "tangible" material apart from what existed at the finalization of the original assessment, undermining the exercise of reassessment notice - The information received from the bank which forms the information on which the Assessing Officer forms his belief under Section 147, does not and cannot relate to the year 1990-91 - The decision in Phool Chand Bajrang Lal And Another Versus Income-Tax Officer And Another [1993 (7) TMI 1 - SUPREME Court] relied upon - there is no material or information on record that relates to income in 1990-91 that may justify the reopening of assessment for the year 1990-91 there is no reason to believe that income has escaped assessment for the year 1990-91 thus, the reassessment notice served to the assessee in respect of the year 1990-91 by the Revenue is liable to be quashed. Claim of depreciation of re-valued assets Held that:- The decision in Apollo Tyres Ltd. v. CIT [2002 (5) TMI 5 - SUPREME Court] followed - the Assessing Officer cannot open the accounts which have been drawn in accordance with the Companies Act, 1956, certified by the chartered accountant, accepted by the general body of the company, and placed before the Registrar to which he has not taken any objection Thus, the notice under Section 147/148 and all further proceedings set aside - Decided in favour of Assessee.
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