Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (8) TMI 187 - AT - Income TaxReopening of assessment u/s 147 - Eligibility of reasons to believe - HELD THAT:- The reasons recorded must speak for itself. The mandatory jurisdictional requirement in terms of 1st proviso to Section 147 will not be deemed to have been fulfilled if the reasons did not themselves clearly indicate that there was, in fact, a failure by the assessee to make full and true disclosure of all material facts. The reasons have to explain what material was not disclosed by the assessee which the assessee ought to have disclosed in the instant case. This should be apparent from the reading of the reasons itself. Similar view has been expressed in BPTP Ltd. vs. Principal Commissioner of Income Tax [2020 (1) TMI 56 - DELHI HIGH COURT] - SLP filed against which was dismissed by the Hon'ble Supreme Court [2021 (3) TMI 702 - SC ORDER] - The Hon'ble Delhi High Court in Oracle India Pvt. Ltd.[2017 (7) TMI 967 - DELHI HIGH COURT] also echoed the same view earlier. Assessee appeal allowed. AO has plainly overlooked the jurisdictional requirement in terms of 1st proviso to Section 147 of the Act. The jurisdiction assumed under Section 147 in this backdrop is ex facie vitiated and thus requires to be struck down at the threshold. The sanction granted by the CIT. also cannot be said to be in accord with Section 151 of the Act and thus vitiates the assumption of jurisdiction. The impugned consequential assessment framed under Section 147 r.w. Section 143(3) is clearly bad in law in the absence of any valid jurisdiction. As a corollary, the impugned assessment order dated 30.12.2016 framed in pursuance of non est jurisdiction stands quashed. - Decided in favour of assessee.
|