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TMI Blog2020 (1) TMI 222X X X X Extracts X X X X X X X X Extracts X X X X ..... ta Narayanan, learned counsel for the petitioner and Mr.Hema Muralikrishnan, learned Senior Standing Counsel for the respondent. 3. The admitted facts are as follows: i. The petitioner is engaged in the business of power generation and is also running a distillery. ii. A return of income was filed by the petitioner claiming deduction under Section 80IA of the Act. iii. The petitioner filed a Report in Form 10CCC as prescribed under Rule 18BBE in support of its claim of deduction under Section 80IA of the Act. iv. The returns were selected for scrutiny by the Assessing Officer and notice under Section 143(2) dated 21.10.2005 issued calling for attendance of the petitioner along with various details in support of the queries raised b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated 04.03.2008. 4. The points on which revision was sought to be effected are: a. The petitioner had filed Form No.10CCC in terms of Rule 18BBE along with return of income Tax which is an incorrect form as per the prescription. The correct form to be filed is Form No. 10CCB. b. No separate books of accounts have been maintained in respect of unit claiming eligibility for deduction under Section 80IA. c. While allowing deduction under Section 80IA, the Authority has failed to take into account the provisions of section 80IA(9). 5. After considering the objections raised by the petitioner to the proposal for revision, an order came to be passed by the Commissioner of Income Tax on 26.03.2010 dropping the proposal for revision on poin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at when a notice under Section 148 of the Income tax Act is issued, the proper course of action for the noticee is to file return and if he so desires, to seek reasons for issuing notices. The assessing officer is bound to furnish reasons within a reasonable time. On receipt of reasons, the noticee is entitled to file objections to issuance of notice and the assessing officer is bound to dispose of the same by passing a speaking order. In the instant case, as the reasons have been disclosed in these proceedings, the assessing officer has to dispose of the objections, if filed, by passing a speaking Order before proceeding with the assessment in respect of the abovesaid five assessment years. 9. Overruling the objections, the Assessing Offi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... year unless any income chargeable to tax has escaped assessment for such assessment year by reason of the failure on the part of the assessee to make a return under section 139 or in response to a notice issued under sub-section (1) of section 142 or section 148 or to disclose fully and truly all material fact necessary for his assessment, for that assessment year: 11. The conditions precedent provided for availment of the extended period of limitation are (i) that the escapement of income should be by virtue of failure of the assessee to file a return of income or (ii) to disclose fully and truly all material facts necessary for the assessment of income for that year. In the present case, the petitioner has, admittedly, not defaulted in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the case of Calcutta Discount Co.Ltd. Vs. Income Tax Officer [41 ITR 191]. This judgment hardly supports the case of the Revenue in so far as the ratio therein is that a re-assessment would be legally tenable only if the assessee had failed to disclose primary and material particulars. In the present case, the primary and material particulars as far as deduction under Section 80IA are concerned, are admittedly, on record. 15. I am thus of the considered view that the impugned proceedings for re-assessment are barred by limitation. I draw support in this regard on a judgment of the Supreme Court in the case of Assistant Commissioner of Income Tax, Mumbai and Others Vs. ICICI Securities Primary Dealership Ltd [348 ITR 299] wherein, the Benc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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