TMI Blog2019 (2) TMI 659X X X X Extracts X X X X X X X X Extracts X X X X ..... justify the respondent Department to re-initiate the proceedings of reassessment. In the case, in hand, the Assessing Authority had applied its mind and passed the original assessment order and there is no fresh material on record permitting the respondent Department to initiate re-assessment proceedings. The impugned notice dated 29.03.2014 amounts to change of opinion on the same set of facts, which were available at the time of passing the original assessment order. This Court is of the opinion that the initiation of the re-assessment proceedings is bad in law and is liable to be set aside. - Decided in favour of assessee - Writ Tax No. - 105 of 2015 - - - Dated:- 11-2-2019 - Bharati Sapru And Piyush Agrawal JJ. For the P ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r were not verified during the course of original assessment proceedings under section 143(3) of the Act. It was further alleged by the Department that the petitioner has created fake and fictitious liability, which is not ascertainable; hence, the same should be disallowed and added back to the income of the petitioner, which resulted in escapement of tax to the tune of ₹ 24,44,404/-. Proceedings under section 154 of the Act were initiated and subsequently, the same were dropped vide order dated 25.03.2014. Thereafter, proceedings under section 148 of the Act were initiated by issuing a notice dated 29.03.2014 on the ground that the petitioner has declared a huge amount of sundry creditors as on 31.03.2007 in the name of two ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... section 148 of the Act are impermissible in the eyes of law. In support of her contention, she has relied upon the judgments of the Hon'ble Supreme Court rendered in Calcutta Discount Co. Ltd. Vs. Income Tax Officer, Companies District I, Calcutta and Another reported in 41 ITR 191 (SC), Ganga Saran Sons P. Ltd. Vs. Income Tax Officer Others reported in (1981) 130 ITR 1 (SC), Commissioner of Income Tax, Delhi Vs. Kelvinator of India Limited reported in (2010) 2 SCC 723, Phool Chand Bajrang Lal and Another Vs. Income Tax Officer reported in (1993) 4 SCC 77 and State of Uttar Pradesh and Others Vs. M/s Aryaverth Chawal Udyog and Others reported in 2016 (91) VST 1 (SC). On the basis of the aforesaid judgments ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y creditors and is unverifiable and unjustifiable, which is liable to be added back to the income of the petitioner. The proceedings under section 154 of the Act were also initiated against the petitioner on the same set of facts and vide order dated 25.03.2014, the same were dropped. The Hon'ble Supreme Court in the case of State of Uttar Pradesh and others vs. Aryaverth Chawal Udyog and others (2015) 17 SCC 324 has held that mere change of opinion while perusing the same material cannot be a reason to believe that a case of escaped assessment exists requiring assessment proceedings to be reopened. The Apex Court in paragraph 30 has held as follows: 30. In case of there being a change of opinion, there must necessari ..... X X X X Extracts X X X X X X X X Extracts X X X X
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