Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2023 (4) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (4) TMI 1116 - HC - Income TaxReopening of assessment u/s 147 - validity of notice issued u/s 148A(b) - principal allegation against the petitioner is, that the Work Contract Tax (WCT), as compared to the previous Financial Years (FYs), has increased substantially, and that no payment has been made by the petitioner. HELD THAT:- As petitioner categorically took the position, that the statutory liability for the AY in issue i.e., AY 2016-17, had been paid in the subsequent year. It was also asserted, that the petitioner had not claimed as expenditure the taxes, which were payable, and had remained unpaid in the period in issue i.e., AY 2016-17. For this purpose, the relevant documents, including the balance sheet for AY 2016-17 as on 31.03.2016, were furnished to the AO. Besides this, we are told, that challans concerning liquidation of the aforementioned statutory liability were also furnished. In sum, it was the petitioner’s stand, that statutory dues concerning withholding tax, service tax and outstanding labour cess, in no circumstances, would constitute income chargeable to tax which had escaped assessment. We may note, that these are aspects which have not been dealt with by the AO, while passing the order u/s 148A(d) of the Act - observations made by the AO missed the crucial fact, which is the petitioner’s stand, that it never claimed deductions concerning unpaid taxes adverted to hereinabove. The impugned order passed under Section 148A(d) of the Act is set aside - AO will carry out a de novo exercise.
|