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2023 (4) TMI 199 - HC - Income TaxReopening of assessment u/s 147 - Reason to believe - whether there was tangible material available with the A.O. for formation of his ‘reason to believe’ that the income had escaped assessment? - HELD THAT:- Only if reasons had been furnished to the Petitioner that one could ascertain whether there was tangible material available with the A.O. for formation of his ‘reason to believe’ that the income had escaped assessment. In the absence of any new tangible material and assuming that there was any material with the A.O. though not disclosed, in the absence of and on account of the failure of the A.O. establishing a live link with such a tangible material, it cannot be said that the jurisdictional condition had been satisfied by the A.O. while proceeding to issue a notice u/s 148 - issuance of a notice u/s 148 in the absence of any new tangible material was nothing but an attempt to review the earlier order of assessment passed by the A.O. Alternate remedy available to the Petitioner under the Act - The exceptions to the rule of alternate remedy where a writ Court may exercise its jurisdiction under Article 226 of the Constitution of India, are cases where statutory authority has not acted in accordance with the provisions of an enactment in question, or has acted in defence of the fundamental principles of judicial procedure, or has resorted to invoke the provisions which are repealed, or when an order has been passed in violation of the principles of natural justice. Reference in this regard can be made to CIT & others V/s. Chhabil Dass Agarwal [2013 (8) TMI 458 - SUPREME COURT] In the present case, we do not wish to relegate the Petitioner to the alternate remedy as provided under the Income Tax Act for the simple reason that not only had the A.O. failed to satisfy the jurisdictional conditions for invoking its power under Sections 147/ 148 of the Act, but had also failed to comply with the directions of GKN Driveshafts (India) Ltd. [2002 (11) TMI 7 - SUPREME COURT] - the petition is allowed. The notice for reopening are hereby set aside.
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