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2022 (6) TMI 1121 - HC - Income TaxReopening of assessment u/s 147 - Notice after expiry period after four years - mandation of recording satisfaction by Commissioner - HELD THAT:- Commissioner endorses the satisfaction on the reasons recorded by the AO, the Commissioner has to apply his mind and he cannot pass order mechanically and without having read the reasons. In this case satisfaction has been endorsed, in our view without even reading the reasons, mechanically. Reason for us to make this observation is that reason recorded by the AO contain contradictions, which if the Commissioner had bothered to read would have come to his notice and he could have taken appropriate remedial measures. As contradictions/errors in the reasons are typographical errors. We do not agree with the same, it cannot be termed as typographical error. Even the assessing officer has not applied his mind after drafting the reasons and perhaps not even read the reasons before forwarding it to the Commissioner for consideration and as noted above, if the Commissioner had also read the reasons he would have noted errors/contradiction. In paragraph No.1 which says "The assessee has e-filed its Return of Income on 30/9/2012 declaring total income at Rs.42,312/-. The case was selected for scrutiny under CASS for the Assessment Year 2012-2013 and the assessment was completed under Section 143 (3) of the said Act on 12/12/2004 assessed total income at Rs.42,310/-." In the penultimate paragraph of the reasons it is recorded "In this case return of income was filed but no scrutiny assessment was made and only requirement to initiate proceeding under Section 147 is reason to believe which has been recorded above." Petitioner is a company in the business of carrying on business of jewellery and bullion trade whereas in the reasons it is alleged that petition has failed to disclose truly and fully all material facts relevant to "salary" of which income chargeable to tax escaped assessment. Since the sanction has not been obtained satisfactorily before issuance of notice under Section 148 of the said Act as prescribed under Section 151 of the said Act, we allow the petition in terms of prayer clause (a) which reads as under: "(a) that this Hon'ble Court be pleased to issue writ of certiorari or a writ in the nature of certiorari or any other appropriate writ under Article 226 of the Constitution of India, calling for records pertaining to the impugned reopening notice dated 29/3/2019 issued by the Respondent No.2 (being Exhibit 'E' hereto) and after going into the validity and legality thereof to quash and set aside the same."
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