TMI Blog2024 (3) TMI 39X X X X Extracts X X X X X X X X Extracts X X X X ..... one of the reasons for reopening the assessment. If the revenue audit raises an objection that the assessment was not completed in accordance with the provisions of the Act, it cannot be treated as a change of opinion because this is the statutory prescription and statutory ground/reason for re-opening the assessment. Assessing Authority has proceeded strictly in accordance with the provisions of Clause (ii) of Explanation 1 to Section 148 of the Act. Therefore, find no error of law or jurisdiction in the impugned order. Therefore, the writ petition is dismissed. If the petitioner has not filed the return of his income in pursuance of the notice dated 07.02.2023 in Ext. P8, the petitioner may file his return within a period of four we ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... application under Section 11. So the corpus donation received to the extent of Rs. 9,05,00,000/- (Rs. 10,30,00,000 1,25,00,000) should have been reduced from the current year application. Expenditure of earlier years Rs. 8,29,89,369/- considered in the current year should also have been disallowed from the claim of application. The revenue audit worked out the income of Rs. 1,60,39,464/- to have escaped assessment. 2.2 After receipt of the said revenue audit objection, notice was issued to the petitioner on 05.12.2022 with the prior approval of the Principal Commissioner of Income Tax (Exemption), Kochi. The petitioner was asked to show cause why notice under Section 148 of the Act should not be issued. The petitioner, vide reply dat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... luded that there was a deficiency in the application of income of Rs. 1,60,39,464/- which had escaped assessment. Therefore, the Assessing Officer recorded the reason that the income to the tune of Rs. 1,60,39,464/- had escaped assessment for the relevant assessment year and it was a fit case for issuing notice under Section 148 of the Act. 3. Learned Counsel for the petitioner has vehemently submitted that the corpus fund received by the petitioner could not be part of the income of the petitioner under Section 11 of the Act. The audit objections are against the statutory prescription in Section 11 of the Act. The petitioner replied to the notice issued under Section 148A(b), bringing to the notice of the Assessing Officer the applicabi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mpt under Section 11 or not. At the stage of recording the satisfaction/reason for re- opening, if there is a revenue audit objection, the Assessing Officer cannot ignore the same, and the Assessing Officer has to consider the revenue audit objection for recording the reasons for re-opening of the assessment. 5. I have considered the submissions on both sides. 6. Learned Counsel for the petitioner has placed reliance on the judgment of the Supreme Court in the case of Indian and Eastern Newspaper Society v. Commissioner of Income Tax 119 ITR 996. However, the said judgment was rendered when there was no such clause as has been inserted with effect from 01.04.2022 in Explanation 1 of Section 148 of the Act. Therefore, in my view, t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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