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 →

Ranjeet Singh Versus The Commissioner of Income Tax, Faridabad

Validity of reopening of assessment - Sanction for issue of notice - sanction had to be taken from Chief CIT or CIT instead of Additional CIT - Held that:- In the present case, the first notice under section 148 dated 22.2.1994 was served on the assessee on 7.3.1994 in response to which the assessee filed his return on 19.3.1996. The AO received information about the assessee having received commission income of ₹ 2 lacs from one CP Singh. The proceedings for reassessment commenced by 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

ice issued under section 148 dated 17.3.1997 was therefore valid.

As far as the objection of the assessee regarding absence of consent under section 151(1) proviso is concerned, it cannot be said that there was any assessment done in the case of the assessee pursuant to the first notice under section 148. Only an intimation under section 143(1)(a) was issued. The decisions referred to by the learned CIT(A) on this issue clearly support the view that intimation under section 143(1)(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

s sum in the assessment year in which the assessee received these sums and also confirmed by ITAT was proper and calls for no interference - Decided against assessee - ITA No. 143 and 166 of 2005 (O&M) - Dated:- 13-1-2016 - MR. AJAY KUMAR MITTAL AND MRS. RAJ RAHUL GARG, JJ. FOR The Appellant : Mr. Sanjay Bansal, Sr. Advocate with Mr. B.M.Monga, Advocate For The Respondent : Mr. Tejinder K.Joshi, Advocate Ajay Kumar Mittal,J. 1. This order shall dispose of ITA No.143 and 166 of 2005, as learned c .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

y the appellantassessee under section 260A of the Act against the order dated 29.9.2004, Annexure P.1 passed by the Income Tax Appellate Tribunal, Delhi Bench 'G' New Delhi (for brevity, the Tribunal ) in ITA No.2646/Del/2004 for the assessment year 1991-92, claiming following substantial questions of law:- i) Whether on the admitted factual position emerging from the material on record, the decision rendered by the Tribunal is a result of incorrect interpretation of the provisions of se .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ding that proceedings initiated under Section 148/147 after a period of four years on an approval and sanction having been granted by the Additional Commissioner of Income Tax were valid? iv) Whether on the facts and in the circumstances of the case, the view taken by the Tribunal is contrary to the decision rendered by this Hon'ble High Court, being the jurisdictional High Court, rendered in the case of CIT vs. Rajesh Talkies (1996) 220 ITR 107 (P&H)? v) Whether the appellant being a jo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

which he had received as interest from M/s Kevikon Agro Farming (P) Limited on the deposit of the sale consideration received on sale of his agricultural land. In response to this notice, the assessee filed his return on 19.3.1996. Intimation under section 143(1)(a) of the Act was issued on 22.3.1996. The Assessing Officer issued another notice under section 148 of the Act on 17.3.1997 for the purpose of bringing to tax a sum of ₹ 2 lacs which the assessee received as commission from one .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ppeals) [CIT(A)]. The assessee challenged the validity of the reassessment proceedings. According to the assessee, pursuant to the first notice issued under section 148 of the Act, intimation was issued by the Assessing Officer and this constituted assessment and therefore in the light of specific provisions of section 151(1) of the Act, no notice could be issued under section 148 of the Act unless the Chief Commissioner or Commissioner is satisfied that it is a fit case for issue of such a noti .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

1, the Tribunal dismissed the appeal. In ITA No.163 of 2005, the assessee filed an application under section 254(2) of the Act before the Tribunal for rectification of the order dated 29.9.2004 which was declined vide order dated 15.2.2005 in the said petition. Hence the instant appeals by the assessee. 4. We have heard learned counsel for the parties. 5. The primary contention of learned counsel for the appellantassessee was that in pursuance to first notice issued under Section 148 of the Act .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

non-est. On merits, the addition of ₹ 2 lakhs was assailed by arguing that only ₹ 1 lakh could be added as the property was jointly owned and the commission received was also for the entire property and the share of the assessee being 50%, only ₹ 1 lakh fell to his share. On the other hand, learned counsel for the revenue besides supporting the order of the Assessing Officer, CIT(A) and the Tribunal submitted that the case of the assessee fell under Section 151(2) of the Act 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

on the reasons recorded by such Assessing Officer that it is a fit case for the issue of such notice : Provided that, after the expiry of four years from the end of the relevant assessment year, no such notice shall be issued unless the Chief Commissioner or Commissioner is satisfied, on the reasons recorded by the Assessing Officer aforesaid, that it is a fit case for the issue of such notice. (2) In a case other than a case falling under sub-section (1), no notice shall be issued under 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

Assessing Officer about fitness of a case for the issue of notice under section 148, need not issue such notice himself. 7. Section 151 of the Act deals with sanction for issue of notice of reassessment. From perusal of Section 151(1) of the Act, it would emerge:- (a) if an assessment has been made under section 143(3) or section 147 and four years have not expired from the end of the relevant assessment year, a notice under section 148 has to be issued by the Assessing Office who is not below .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

r aforesaid that it is a fit case for issue of such notice. Therefore, in other words, the Assessing Officer not below the rank of the Assistant CIT can issue a notice but before issuing the notice, the satisfaction of the CIT or the Chief CIT is necessarily to be obtained. 8. According to Section 151(2), no notice can be issued under Section 148 of the Act by an Assessing Officer who is below the rank of Joint Commissioner of Income Tax after the expiry of four years from the end of the relevan .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

(2000) 111 Taxman 439 Kerala. concluded that the processing of return under Section 143(1)(a) of the Act even in pursuance to notice under Section 147 of the Act did not result into an assessment. It may be noticed that the judgment of the Delhi High Court in Apogee International Limited's case (supra) was quoted with approval by the Apex Court in Assistant Commissioner of Income Tax vs. Rajesh Jhaveri Stock Brokers Pvt. Limited, (2007) 291 ITR 500. Once that was so, sub section (1) of Secti .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ome on the basis of first return filed by him on 19.3.1996 instead issued intimation under Section 143(1)(a) of the Act on 22.3.1996. Only intimation under Section 143(1)(a) of the Act was issued which was not an assessment. Thus, no proceedings were pending before the Assessing officer when the second notice was issued on 17.3.1997 on the basis of information about commission income of ₹ 2 lacs received by the assessee from one C.P.Singh and was therefore valid. The relevant findings reco .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

visions of Section 153(2) prescribing time limit for completion of assessment or reassessment proceedings. As on 31.3.1996, the Assessing Officer could not proceed to assess or reassess assessee's income on the basis of the first return filed by the assessee on 19.3.1996. Therefore, it could not be said that any proceedings were pending before the Assessing Officer when the second notice was issued. The second notice issued under section 148 dated 17.3.1997 was therefore valid. 8. As far as .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

present case. Therefore, consent under section 151(1) for issue of notice under section 148 has rightly held by the CIT(A) to be not necessary. Nothing could be shown that the aforesaid conclusion of the Tribunal was erroneous. 10. Examining the issue on merits relating to taxability of only 50% in the hands of the assessee, the same was negated with the following observations:- 9. What now remains for consideration is ground No.5 which reads as follows: 'That without prejudice to the above .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

h one Mr. CP Singh of M/s Pawan & Co. Pvt. Limited over and above the sale consideration received by the assessee from Mr. CP Singh on the following dates: On 31.3.1991 Rs.55,804/- On 22.7.1992 Rs.1,50,000/- Rs.2,05,804/- 11. The plea of the assessee was that this sum was commission which CP Singh paid to him from and out of the commission which he received from DLF. The plea of the assessee with regard to taxability of this income was (a) that the sale of the land was on 17.11.1989 and 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

:- I have carefully considered the facts and submissions made. I find no merit in the assessee's contention that the commission accrued on 17.11.1989 i.e. the day when the sale deed was executed. The sale deed does not mention anything about the commission payment to the assessee. The explanation that commission on sale of agricultural land was received as part of custom in the family cannot be believed as there is no credence in the explanation of the assessee. This amount is obviously paym .....

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     ↓  

News: Notification Issued For GST Actionable Claim On Branded Food Products

News: GST Refund - Blockage of Working Capital of Exporters - earlier also there was a normal blockage of funds for a period of 5-6 months at least

News: Clarification about Transition Credit - ₹ 1.27 lakh crore of credit of Central Excise and Service Tax was lying as closing balance as on 30th June, 2017 - claim of credit of ₹ 65,000 crore is not unexpected

Article: 20 Things You must know about E Way Bills in GST Law

Article: MISTAKES IN DRAFTING

Forum: Duty Drawback- Urgent

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

Highlight: The definition of "subsidiary company" or "subsidiary" u/s 2(87) of the Companies Act, 2013 shall come into force w.e.f. 20-9-2017

Highlight: Central Government notified the All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017 - Notification

Notification: All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017

Circular: Investment by Foreign Portfolio Investors in Corporate Debt Securities Review

Notification: Exemptions on supply of services under UTGST Act

Notification: Rates for supply of services under UTGST Act

Notification: Exemptions on supply of services under IGST Act

Notification: Rates for supply of services under IGST Act

Notification: List of Exempted supply of services under the CGST Act

Notification: Rates for supply of services under CGST Act

Highlight: Acceptance of deposits by companies from its members - conditions relaxed in case of Specified IFSC Public company and a private company - Rule 3 amended

Notification: Rate of exchange of conversion of the foreign currency with effect from 8th September, 2017

News: Tax Payers Advised To Confirm Identities Of Income Tax Search Authorities

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

Forum: GST Invoice

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

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

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: 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

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.

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



|| 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