Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2018 (10) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (10) TMI 1606 - HC - Income TaxReopening of assessment - introduction of capital - validity of reasons - Held that:- Revenue has hardly explained how and in under what circumstances, it can proceed to re-open the assessment for the subsequent year, F.Y. 2009-10 (A.Y. 2010-11). This Court is further of the opinion that there is no material to support the Revenue’s premise that any infusion of capital which was made on 01.04.2009, which could, if at all, be found to be the only basis to form a valid reason as stated in the notice. In the absence of such information, what emerges is that the investment of ₹7.22 crores in the equity capital of the petitioner were related quite logically or naturally, to the previous year i.e. AY 2009-10 (FY 2008-09). In these circumstances, the re-opening of the assessment, cannot be sustained even though the Revenue may be otherwise right in contending that it was based upon tangible information. Clearly, the inaccuracy or rather a mistake in this case, affected the validity of the notice. - Decided in favour of assessee.
|