TMI Blog2022 (6) TMI 792X X X X Extracts X X X X X X X X Extracts X X X X ..... perusal of financials of the assessee, which are forming part of the paper book, it is amply evident that during the year under consideration, assessee did not undertake any transaction in respect of its fixed assets and rather profit was earned on sale of motor cars. There is also no variation in the inventories /stock of flats. Levy tax on annual letting value of unsold property by treating the same as income from house property - As pertinent to note that Hon‟ble Delhi High Court‟s decision dated 31/10/2012 in Ansal Housing Finance and Leasing Co Ltd [ 2012 (11) TMI 323 - DELHI HIGH COURT] on which reliance has been placed by the Assessing Officer to support the aforesaid levy, was already available in public domain at the time of passing of the assessment order dated 26/11/2012 under section 143(3) No details of dividend earned and short term capital loss incurred are available on record also appears to be another pretext to initiate reassessment proceedings in the present case, as during the original scrutiny assessment proceedings the Assessing Officer made disallowance of Rs. 34,59,553 under section 14A of the Act after perusing all the details filed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 41,80,703/- and the income u/s 115JB be considered at Rs.6,67,74,763, only. 3. Apart from the above grounds of appeal, the assessee vide application dated 03/01/2022 sought admission of following additional grounds of appeal: 1. The abovementioned appeal has been filed by the Appellant against the order dated 22.10.2019 passed by the Ld. Commissioner of Income Tax (Appeals). The said appeal is scheduled for the hearing on 04.01.2022. 2. The Appellant submits that it has raised the additional ground before the Hon'ble ITAT challenging the jurisdiction to issue a notice u/s 148(1) of the Act. The said ground is purely legal in nature and the same goes to the root of the matter. Thus, the Appellant prays before the Hon'ble ITAT to admit and adjudicate the same. 3. For the abovementioned well-established proposition of the law, the Appellant strongly relies upon the following judicial pronouncements and requests your honor to admit and adjudicate the said additional ground. 4. By way of additional grounds of appeal, the assessee seeks to challenge the jurisdiction of the Assessing Officer invoked under section 147 of the Act. As the issue raised by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd directed the assessee to produce the documents in support of its claim. The said notices were responded by the assessee. 8. The Assessing Officer vide order dated 23/03/2016 passed under section 143(3) r.w.s. 147 of the Act computed the total income of the assessee under section 115 JB of the Act at Rs. 7,50,21,669. In further appeal, learned CIT(A) vide impugned order dated the 22/10/2019 partly allowed the appeal filed by the assessee on merits. Being aggrieved, assessee is in appeal before us. 9. During the course of hearing, the learned AR placed his submissions on the additional grounds of appeal challenging the legality of reassessment proceedings in the present case. The learned AR submitted that impugned reassessment proceedings are based on the reappraisal of same set of facts which were already available on record at the time of original scrutiny assessment proceedings. The learned AR further submitted that there is no new or tangible information/material for initiating the reassessment proceedings in the present case and thus reopening of assessment is bad in law as the same is based upon the change of opinion of the Assessing Officer. 10. On the other hand, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 427 Mum). Omission to do so has resulted into under assessment of Rs. 9,08,572/- on this issue. Further, it was also observed from the record, that the assessee company had received dividend of Rs.3,97,85,797/- which was claimed as exempt. Also it has shown short term capital loss of Rs. 4972,979/-. No details of the said dividend and STCL are available on the record. In view of the above, I have reason to believe that an amount of Rs.9,21,282/ for the A.Y.2010-11 has escaped assessment u/s 147 of the I.T. Act, 1961 for this year. Hence it is a fit case for issue of notice u/ s. 1'18 of the I.T. Act. 12. Thus, the Assessing Officer initiated the reassessment proceedings on the following 3 issues: (a) addition of loss on sale of assets of Rs. 12,710; (b) addition of notional income of Rs. 9,08,572 from unsold flats as income from house property; and (c) non-furnishing of details of dividend earned and short term capital loss incurred. 13. At the outset, it is pertinent to note that neither in the reasons recorded for reopening the assessment nor during the proceedings before us, Revenue has pointed out as to what new or tangible material ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for reopening the assessment that no details of dividend earned and short term capital loss incurred are available on record also appears to be another pretext to initiate reassessment proceedings in the present case, as during the original scrutiny assessment proceedings the Assessing Officer made disallowance of Rs. 34,59,553 under section 14A of the Act after perusing all the details filed by the assessee. Thus, upon perusal of all these aspects, we are of the considered view that the impugned reassessment proceedings were initiated only on the basis of re-appreciation of facts already available on record without any new or tangible material coming into existence and also to conduct roving and fishing enquiry in the case of the assessee for the year under consideration. 15. For initiating the proceeding under section 147 of the Act, the Assessing Officer is required to have reason to believe‟ that income chargeable to tax has escaped assessment. In present case, reassessment proceedings are nothing but mere change of opinion by Assessing Officer with regards to material already available on record and considered during the course of original scrutiny assessment procee ..... X X X X Extracts X X X X X X X X Extracts X X X X
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