TMI Blog2007 (8) TMI 324X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant. JUDGMENT The judgment of the court was delivered by Janarthana Raja J.- This appeal is filed under section 260A of the Income-tax Act, 1961, by the Revenue, against the order of the Income-tax Appellate Tribunal, Chennai "D" Bench, Chennai, in I. T. A. No. 2145/ Mds/2003, dated April 13, 2007, raising the following substantial question of law : "Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was right in law in holding that the reopening of the assessment under section 147 of the Income-tax Act is bad in law and the reopened assessment is annulled, even though the Assessing Officer complied with the order of the Commissioner of Income-tax (Appeals) for the assessment ye ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3) read with section 147 of the Act. While completing the assessment, the Assessing Officer made an addition of Rs. 84,073. Aggrieved by the order, the assessee filed an appeal to the Commissioner of Income-tax (Appeals). The Commissioner of Income-tax (Appeals) dismissed the appeal and confirmed the order of reassessment. Aggrieved, the assessee filed an appeal to the Income-tax Appellate Tribunal ("the Tribunal" in short). The Tribunal allowed the appeal filed by the assessee on the ground that reopening of the assessment is bad in law and also relied on this court judgment in the case of CIT v. V. T. Rajendran [2007] 288 ITR 312. Hence the present tax case by the Revenue. 3. Learned senior standing counsel appearing for the Revenue ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r of Income-tax (Appeals) also directed that the difference between the total cost thus fixed and the total cost disclosed by the assessee should be brought to tax for the assessment years 1991-92 to 1994-95 inasmuch as construction of the shopping space-cum-kalyana mandapam had taken place during the previous years relevant to these four assessment years. In order to assess the proportionate difference for the present assessment year, the Assessing Officer reopened the assessment under section 147 of the Act. There is no dispute that the direction given in the earlier order of the Commissioner of Income-tax (Appeals) is on the basis of the Departmental Valuer's Report. In this case, the Tribunal came to the conclusion that reopening of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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