Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

SHRI DEVENDRA KUMAR Versus INCOME TAX OFFICER, WARD-1, BULANDSHAHAR

Reopening of assessment - Held that:- Reason recorded for issuing notice under section 148 clearly indicates that the reopening done without even an allegation that the assessee has failed in its statutory obligation to disclose fully and truly the material facts necessary for the computation of income and as such cannot be held to be valid in law and need to be cancelled on this primary ground only. There is not even an allegation in the reasons that assessee has failed to disclose fully and tr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

28-9-2015 - SHRI H.S. SIDHU, JUDICIAL MEMBER For The Assessee : Shri Ved Jain, Advocate For The Department : S h. Sudhiranjan Senapati, Sr. DR ORDER PER H.S. SIDHU : JM This Appeal filed by the Assessee emanate out of the Order dated 06.8.2014 passed by the Ld. CIT(A), Meerut relevant to assessment year 2007-08. 2. The following grounds have been raised in the Assessee s Appeal:- 1. On the facts and circumstances of the case, the order passed by the learned Commissioner of Income Tax (Appeals)[ .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

facts and in law in confirming the order of the AO rejecting the contention of the assessee that the reason recorded for reopening of the assessment are bad in law and as such the reopening of the assessment is illegal and liable to be quashed so. (iii) On the facts and circumstances of the case, the reopening is bad in law in the absence of live nexus in the reasons recorded and the facts of the case. 3(i) On the facts and circumstances of the case, the learned CIT(A) has erred both on facts an .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ndra Kumar Yadav. (ii) That the above said addition has been confirmed by misinterpreting the facts and arbitrarily rejecting the explanation and evidences submitted by the appellant in support of its contention. 5. That the appellant craves leave to add, amend or alter any of the grounds of appeal. 3. The brief facts of the case are that Assessee filed return of income on 27.12.2007 declaring Net Income of ₹ 1,03,794/-. The notice u/s. 148 was issued to the Assessee on 10.8.2010 which was .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

resentative of the assessee and Mr. Sanjeev Kumar, Brother of the assessee attended the proceedings from time to time and furnished the necessary details and information called for. The case was also discussed with them in detail. Thereafter, the AO completed the assessment at income of ₹ 7,53,794/- vide his order dated 20.9.2011 passed u/s 143(3) of the I.T. Act, 1961. 4. Against the above order dated 20.9.2011, assessee filed an appeal before the Ld. CIT(A), who vide impugned order dated .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

or issuing notice under section 148 clearly indicates that the reopening done without even an allegation that the assessee has failed in its statutory obligation to disclose fully and truly the material facts necessary for the computation of income and as such cannot be held to be valid in law and need to be cancelled on this primary ground only. There is not even an allegation in the reasons that assessee has failed to disclose fully and truly all material facts for the compaution of its income .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

orded by the AO. I further find that in the instant case, the assessee had made full and true disclosure during the original assessment proceedings with regard to issues in dispute. Hence, I am of the view that the reopening had been done merely on change of opinion in as much as that in the original assessment made u/s. 143(3) of the I.T. Act, the AO had apparently applied his mind and had raised queries with regard to the items which have been identified by the AO in this notice u/s. 147/148 o .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

20 ITR 561 and Commissioner of Income Tax vs. Usha International Ltd. [2012] 348 ITR 485 (Delhi) [Full Bench] the reassessment is invalid on the part of the AO and also on confirming the same on the part of the Ld. CIT(A). 7.1 I also find that the facts and circumstances of the present case are similar and identical to that of the decision of the Tribunal in the case of Minda Industries Ltd. vs. DCIT (Supra) vide order dated 19.6.2015. For the sake of convenience, the relevant para 14 to 15 at p .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

nvestigation Wing that the assessee was engaged in receiving the bogus entries, the assessment was reopened. The AO identified 3 parties and issued summons u/s 131 of the Act which returned back with the remarks of the Postal Authority left without address . The AO made the addition of ₹ 25,00,000/- by observing that that the loans received in the said amount by the assessee were on account of bogus entries. In the present case, it is an admitted fact that the reassessment proceedings were .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

d 09.12.2005 furnished the list of inter-corporate loan alongwith copy of return of income and financial statement. Therefore, it cannot be said that the AO did not make the inquiries relating to the loans or the assessee did not furnish the requisite details of the loans. In the present case, the AO after examining the aforesaid details framed the assessment u/s 143(3) of the Act vide order dated 30.03.2006, therefore, the reopening on the basis of the same issue which was examined in the cours .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

31, 1989. A perusal of clause 7.2 of the said circular makes it clear that the amendments had been carried out only with a view to allay fears that the omission of the expression reason to believe from section 147 would give arbitrary powers to the Assessing Officer to reopen past assessments on a mere change of opinion. It is, therefore, evident that even according to the Central Board of Direct Taxes a mere change of opinion cannot form the basis for reopening a completed assessment. A statute .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ubsection (1) of section 143 or sub-section (3) of section 143. When a regular order of assessment is passed in terms of the sub-section (3) of section 143 a presumption can be raised that such an order has been passed on application of mind. It is well known that a presumption can also be raised to the effect that in terms of clause (e) of section 114 of the Indian Evidence Act, 1872, judicial and official acts have been regularly performed. If it be held that an order which has been passed pur .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Hon ble Supreme Court in the case of CIT Vs Kelvinator of India Ltd. 320 ITR 561. 15. In the present case, also the AO while framing the original assessment, specifically, asked the assessee to furnish the details of the unsecured loans and the assessee gave the details by disclosing the name of the persons from whom loans were received and also furnished their PAN nos. alongwith the requisite details in the form of affidavit from the Directors of the lending companies, balance sheet & prof .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     Latest Happenings     ↓  

Circular: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg.

News: GST implementation smoother than expected: Jaitley

News: Blockage of Working Capital of Exporters

News: Clarification about Transition Credit

Forum: GST - TRAN1 - filed - Data uploaded with Remarks Processed with Error - Not coming in Electronic credit ledger - need suggession guidance

Forum: 3B mistake

Forum: Input tax credit

Forum: Excise duty credit on finished stock at additional place of business.

Forum: Cess paid instead of SGST

Forum: Due date of Filing TRAN-1

Highlight: Diversion of income at source - Joint venture agreement - 97% of the receipt transfer to M/s TRG Industries (P) Ltd. - scope of the agreement - it is diversion by overriding title - not taxable in the hands of assessee - HC

Highlight: Expenditure on eligible projects or schemes u/s 35AC - After 01.04.2017 the legislature desired to withdraw such deduction. - The Union legislature was competent to introduce such amendment - HC

Highlight: Transfer of trading assets at cost price, the profit component also stood transferred to the outgoing Directors, which otherwise belonged to the Company - the fact that AO has made the addition in the hands of the Directors would not make any difference - additions confirmed - HC

Highlight: The interest u/s 234B of the Act cannot go beyond the stage of S.245D(I) before the Settlement Commission - HC

Highlight: Galvanized iron pipe is a different commercial commodity than a iron pipe, therefore the activity of galvanization in our considered opinion amounts to manufacture - Deduction u/s 80-IB allowed - HC

Highlight: Penalty u/s 271C - non deduction of TDS on interest paid to sister concerns in terms of Section 194A - Levy of penalty confirmed - HC

Highlight: Disallowance of interest - reference to section 179 - The legislature has also recognised, that the doctrine of lifting of veil in the matter of tax dues is to be applied to prevent fraud etc. and not where the company has suffered despite its normal bona fide function. - HC

News: RBI Reference Rate for US $

Notification: Amendment in Notification No. S.O. 3118(E), dated the 3rd October, 2016

Highlight: Discount on ESOP to be allowed as business expenditure u/s 37(1), during the years of vesting on the basis of percentage of vesting during such period, subject to upward or downward adjustment at the time of exercise of option.

Notification: Central Government appoints the 20th September, 2017 as the date on which proviso to clause (87) of section 2 of the Companies Act 2013, shall come into force

Notification: Companies (Restriction on number of layers) Rules, 2017

Highlight: Penalty u/s 271(1)(c) - additional income disclosure - surrender of income post survey u/s 133A - he disclosure made by the assessee is voluntary in nature, in the revised return - no penalty

Highlight: Reopening of assessment - notice u/s 148 issued on the directions of JCIT / CIT - a perusal of reasons for initiating reassessment proceedings clearly show that they are against the sprit of provisions u/s 147

Notification: All Industry Rates of Duty Drawback Schedule

Highlight: MAT - Adjustment to book profit - computation u/clause (f) of Explanation-1 to section 115JB(2) is to be made without resorting to the computation as contemplated u/s 14A r.w.Rule 8D of I.T. Rules.

Notification: The Customs and Central Excise Duties Drawback Rules, 2017

Highlight: Addition on account of alleged suppression of service value received - the addition made simply believing the Form 26AS will be an arbitrary exercise of power which cannot be sustained

Notification: Exempts intra state supply of heavy water and nuclear fuels from DAE to NPCIL

Notification: Seeks to amend notification No. 12/2017-UTT(R) to exempt right to admission to the events organised under FIFA U-17 World Cup 2017

Notification: Seeks to amend notification No. 11/2017- UTT(R) to reduce CGST rate on specified supplies of Works Contract Services

Highlight: Liability to pay duty on import of software - Though no authorization was given by the appellant to DHL, it is an undisputed position that the software has, in fact, been ordered by the appellant and have been delivered to them by DHL - the appellant is to be considered as the importer

Notification: Exempts inter-state supply of heavy water and nuclear fuels from DAE to NPCIL

Notification: Seeks to amend notification No. 09/2017-IT(R) to exempt right to admission to the events organised under FIFA U-17 World Cup 2017

Notification: Seeks to amend notification No. 08/2017-IT(R) to reduce CGST rate on specified supplies of Works Contract Services

Notification: Exempts intra state supply of heavy water and nuclear fuels from DAE to NPCIL

Notification: Seeks to amend notification No. 12/2017-CT(R) to exempt right to admission to the events organised under FIFA U-17 World Cup 2017

Notification: Seeks to amend notification No. 11/2017-CT(R) to reduce CGST rate on specified supplies of Works Contract Services.

News: Tax on fuel more important for a dry state like Gujarat

Highlight: For an ayurvedic medicine to be classified under Chapter 30 has to pass the test whether it is for cure of any disease. If the same is only meant for care, then such product would not fall under medicament.

Highlight: Demand of interest - the period of limitation that applies to a claim for the principal amount should also apply to the claim of interest thereon.

Highlight: Government issues new notifications under CGST, IGST and UTGST to grant fresh exemptions in respect of certain supplies.

Circular: Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 117 of the Central Goods and Services Tax Rules, 2017

Article: SIMPLIFIED E-WAY BILL UNDER GST

Article: SERVICES UNDER REVERSE CHARGE UNDER GST REGIME

Highlight: Rate of exchange of conversion of the foreign currency with effect from 22th September, 2017 - Notification

Highlight: Companies (Acceptance of Deposits) Second Amendment Rules, 2017 - Notification

Highlight: Implementing Electronic Sealing for containers by exporters under self-sealing procedure prescribed by Circular 26/2017-Cus dated 1st July, 2017 and Circular 36/2017 dated 28 th August, 2017. reg. - Circular

Highlight: Amendment to Paragraph 2.72 (b) of the Handbook of Procedures of the Foreign Trade Policy (FTP) 2015-20 - Public Notice

Notification: Amendment in Appendix 3 (SCOMET items) to Schedule- 2 of ITC (HS) Classification of Export and Import Items 2012



|| 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