TMI Blog2002 (2) TMI 66X X X X Extracts X X X X X X X X Extracts X X X X ..... , decorative laminates, extruded sheets, etc. In the course of its manufacturing operations, the petitioner imports certain raw materials on which it incurs a liability to pay the customs duty. The goods manufactured out of the imported raw materials are liable to excise duty. In the assessment year relevant for the purpose herein, a return of income was filed on November 30, 1994, declaring the income of Rs. 98,03,840 along with the accounts and tax audit report. In note No. 9 to the notes of accounts, it was indicated that the excise duty on finished goods and customs duty on raw materials and components lying in bonded warehouse on March 31, 1994, estimated at Rs. 120.79 lakhs and Rs. 80.32 lakhs, respectively, were neither provided in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ropped the rectification as no further action was taken thereafter. However, by a notice under section 148 of the Act dated January 31, 2001, the Assessing Officer has sought to reopen the assessment under section 147 of the Act. The validity of this is the subject-matter of the present writ petition. On behalf of the respondents, Shri Jitendra Yadav, Assistant Commissioner of Income-tax, Circle 6(2), filed an affidavit furnishing reasons for reopening of the assessment, which reads as under: "Reasons for issue of notice under section 148: In this case, the assessment was completed under section 143(3) on December 20, 1996, determining the total income at Rs. 3,10,13,366. On a review of the records, it was seen that excise duty on f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... goods and not the date of manufacturing of the excisable goods. In the instant case, it was specifically set out in the returns of the income filed by the assessee that the excise duty on finished goods and the customs duty on raw materials and components lying in bonded warehouse on March 31, 1994, were neither provided in the books nor included in the valuation of such stocks as per the practice consistently followed by the assessee. There is no dispute that in the assessment order dated February 15, 2001, for the assessment year 1998-99, the method adopted by the assessee has been accepted by the Revenue. Moreover, the fact that the said excise duty and customs duty components were not included in the books nor in the valuation of the st ..... X X X X Extracts X X X X X X X X Extracts X X X X
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