Contact us   Feedback   Annual Subscription   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2015 (4) TMI 840 - BOMBAY HIGH COURT

2015 (4) TMI 840 - BOMBAY HIGH COURT - TMI - Bogus transactions - tribunal part deletion - whether the Tribunal lost sight of the legal provisions and particularly, Section 139(4) and Section 139(5) of the I.T. Act? - Held that:- If the Revenue is trying to show that the relevant transactions were sham and not real, then it has to bring in satisfactory material. The Tribunal found in paras 37 to 40 of the impugned order that the income which was earlier disclosed was not as such because the Agre .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ued because of the fact that these Agreements were cancelled. Then the issue of their cancellation has been gone into, and in extensive details. The correct legal principles were applied and a finding of fact is arrived at in para 48, that no income could be said to have really accrued to the assessee as a result of the five transactions in the immovable properties and which income was chargeable to tax in the year under consideration. Once income had not accrued to the assessee in the real sens .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

cancelled subsequently. Such findings of the Tribunal are essentially on facts. They are consistent with the material placed on record. We do not find that any re-appreciation or re-appraisal thereof is permissible, as such findings of fact are neither perverse nor vitiated by any error of law apparent on the face of the record. The Appeal does not raise any substantial question of law.- Decided against revenue. - Income Tax Appeal No. 877 of 2013 - Dated:- 13-4-2015 - S. C. Dharmadhikari And A .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e. 2. Mr. Pinto, learned counsel appearing on behalf of the Revenue in support of this Appeal submits, that the questions at page Nos.5 and 6 of the paper-book are substantial questions of law. 3. He submits that this is a case of survey action carried out on the assessee's business premises on 11-9-2008. Subsequent to the survey, a Notice under Section 142(1) of the Income Tax Act, 1961 (for short, "the I.T. Act") was issued to the assessee calling for its return of income for the .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

n in respect of the five transactions of sale of land/FSI to the five parties stands withdrawn due to cancellation of the five Sale Agreements. The second return was claimed to be a revised return. It was argued that the assessee discovered an omission of cancellation of the Sale Agreements which was not disclosed in the original return and hence the revision of the same by filing a revised return of income. 4. An order of assessment has been passed by the Assessing Officer under Section 143(3) .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

al provisions and particularly, Section 139(4) and Section 139(5) of the I.T. Act. He submits that a revised return cannot be filed routinely and when the assessee had not filed its return of income earlier. The assessee filed it pursuant to the Notice issued under Section 142(1) of the I.T. Act and that could not have been revised and assuming it can be so, still the requirement under sub-section (4) and sub-section (5) of Section 139 of the I.T. Act having not been fulfilled, there was no obli .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rified that any person who has not furnished a return of income within the time allowed to him under sub-section (1) of Section 139, or within the time allowed under a notice issued under sub-section (1) of Section 142, may furnish the return for any previous year at any time before the expiry of one year or from the end of the relevant assessment year or before the completion of the assessment, whichever is earlier. The proviso to sub-section (4) need not be referred to in this case. 9. Section .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of income furnished in pursuance of a notice under Section 139(1) or in pursuance of a notice under sub-section (1) of Section 142. There is, thus, no legal bar in furnishing a revised return and within the time stipulated by sub-section (5), if there is discovery of any omission or any wrong statement in the return originally filed. Thus, a return of income could be filed under Section 139(1) or in pursuance of a notice under Section 142(1). Both such returns can be revised upon fulfillment of .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ssible, provided the factual findings can be termed as perverse or vitiated by any error of law apparent on the face of the record. In the present case, the argument was, that this income which was declared could not have been thereafter termed as such. It not being realised as the Sale Agreements have been cancelled. 11. In that regard, we find that the Tribunal was informed by the Revenue that there is a doubt about the cancellation of the relevant Agreements. That cancellation is not genuine .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

that the relevant transactions were sham and not real, then it has to bring in satisfactory material. The Tribunal found in paras 37 to 40 of the impugned order that the income which was earlier disclosed was not as such because the Agreements were terminable or could have been cancelled. Once they were cancelled, the properties have reverted back to the assessee. They are duly reflected in the balance sheet and as assets of the assessee. There were revised accounts and which were also scrutiniz .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version