TMI Blog2019 (4) TMI 1806X X X X Extracts X X X X X X X X Extracts X X X X ..... PREME COURT ] the Supreme Court has held that the Assessment Officer may start reassessment proceedings either because some fresh facts had come to light which were not previously disclosed or some information with regard to the facts previously disclosed comes into his possession which tends to expose the untruthfulness of those facts. In such situations, it is not a case of mere change of opinion or the drawing of a different inference from the same facts as were earlier available but acting on fresh information. It is held therein that since the belief is that of the Income-tax Officer, the sufficiency of reasons for forming this belief is not for the court to judge. In all the cases there exists material to infer that income has esc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order albeit three of them were reserved on one day and fourth i.e. WPT No.238 of 2018 was reserved a day after. 3. Learned counsel appearing for the petitioners would argue that re-assessment notice is required to have prior sanction under Section 151 (1) by satisfying the condition prescribed in the said provision, however, proper reasons to believe for issuance of notice being absent in both the cases the sanction under Section 151 of the Act and the consequent notices are illegal and without jurisdiction. 4. Learned counsel would further argue that there is only reason to suspect that income has escaped without there being any foundational fact or tangible material withheld by the petitioner at the time of assessment. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... TR 485 (Del) (FB). 6. Learned counsel appearing for the Revenue, per contra, would submit that the Principal, CIT has recorded cogent reasons as required under Section 151 (1) read with Section 148 (2) of the Act before granting sanction for re-opening of assessment. Learned counsel would further submit that there are tangible material as is referred in the order under Section 148 (2), therefore, it is not a case of change of opinion. 7. Further contention of the learned counsel for the Revenue is that re-assessment proceedings having already been done, the petitioner has remedy of filing an appeal, therefore, the present petitions are not maintainable. Learned counsel would next submit that whether or not the income has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... believe that income profits or gains chargeable to income tax have escaped assessment, and secondly he must also have reason to believe that such escapement has occurred by reason of either (i) omission or failure on the part of the assessee to disclose fully or truly all material facts necessary for his assessment of that year. Both these conditions were conditions precedent to be satisfied before the AO could have jurisdiction to issue notice under Section 148 read with Section 147(a). But under the substituted Section 147 existence of only the first condition suffices. In other words, if the assessing officer for whatever reason has reason to believe that income has escaped assessment, it confers jurisdiction to reopen the assessment. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reasons for forming this belief is not for the court to judge but it is open to an assessee to establish that there in fact existed no belief or that the belief was not at all a bona fide one or was based on vague, irrelevant and non- specific information. To that limited extent, the court may look into the conclusion arrived at by the Income-tax Officer and examine whether there was any material available on the record from which the requisite belief could be formed by the Income-tax Officer and further whether that material had any rational connection or a live link for the formation of the requisite belief. 12. In Income Tax Officer, Calcutta v Selected Dalubrand Coal Co. Pvt. Ltd. (1997) 10 SCC 68 , the Supreme Court held ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing on fresh information. It is held therein that since the belief is that of the Income-tax Officer, the sufficiency of reasons for forming this belief is not for the court to judge. 15. In all the cases there exists material to infer that income has escaped assessment, therefore, issuance of notice under Section 148 of the Act is based on such reasons as is permissible in law, therefore, reassessment notice itself cannot be set aside at this stage. 16. In view of the above discussion, this Court is satisfied that the notice under Section 148 of the Act or the reasons recorded for issuance of such notice do not suffer from any illegality or infirmity. 17. As a sequel, all the writ petition sans merit are liable t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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