Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram
Income Tax - Highlights / Catch Notes

Home Highlights September 2024 Year 2024 This

The crux of the matter revolves around the validity of ...


Reassessment validity questioned due to lack of new tangible material or fresh information with Tax Officer.

Case Laws     Income Tax

September 17, 2024

The crux of the matter revolves around the validity of reassessment proceedings initiated by the Assessing Officer (AO). The critical issue is whether there existed any new 'tangible material' or fresh 'information' in the possession of the AO to justify reopening the assessment u/s 147 of the Act. The Tribunal, after examining the Supreme Court's judgment in Kelvinator of India Ltd. and the assessee's own case, concluded that there was no new 'tangible material' or fresh 'information' available with the AO. Consequently, the Tribunal held that if the AO assumes jurisdiction u/s 147 without such material or information, it would render the reassessment proceedings a nullity, liable to be set aside. Additionally, the Tribunal noted that the Revenue had an opportunity to invoke issues u/s 263 before reopening but failed to do so. Based on these considerations, the Tribunal decided in favor of the assessee and set aside the reopening proceedings.

View Source

 


 

You may also like:

  1. Reassessment proceedings initiated solely based on an audit objection without fresh tangible material are impermissible. A mere change of opinion by the Assessing...

  2. Validity of reopening of assessment u/s 147 - Reason to believe - The Appellate Tribunal observed that the reassessment proceedings were initiated solely based on the...

  3. Validity of reopening assessment u/s 147 challenged. Profit earned by trading in shares treated as unexplained credit u/s 68. Held: Petitioner disclosed all material...

  4. The High Court held that the reassessment proceedings initiated by the revenue authorities were invalid as there was no new tangible material or information suggesting...

  5. Assessment u/s 153A lacked incriminating material - additions arbitrary. Fictitious commodity losses disallowed due to absence of tangible evidence of undisclosed income...

  6. Formation of belief by the Assessing Officer that income has escaped assessment is the crux of the reopening provision. The reasons recorded must be based on tangible...

  7. The case before the Allahabad High Court involved the validity of reassessment proceedings initiated by the assessing authority based on information that the purchaser...

  8. Validity of initiation of proceedings u/s.147 - Unexplained investment u/s. 69B - Even though there was a tangible material or information coming from the investigation...

  9. The High Court held that the reassessment proceedings initiated u/s 148 were invalid. The assessee, a partner in a firm, had disclosed all financial transactions and...

  10. Validity of reassessment proceedings challenged - capital gain on co-owned land sale - reassessment based on DVO report alleging suppression of lower valuation - reasons...

  11. Validity of reopening of assessment - Approval of PCIT u/s 151 - The Tribunal acknowledged the Assessee's argument regarding the mechanical approval granted by the PCIT....

  12. The Delhi High Court examined the validity of reassessment proceedings u/s 147 after a four-year lapse. The court emphasized the requirement of "reasons to believe" for...

  13. Reopening of assessment - - There was no nexus between the reasons to believe that income has escaped assessment and any new tangible material placed on record before...

  14. Reopening of assessment u/s 147 - The High Court dismissed the appeal filed by the revenue, affirming the decision of the Income Tax Appellate Tribunal (ITAT) that...

  15. The Rajasthan High Court examined the validity of reassessment proceedings u/s 147/148/148A OR u/s 153C/153A based on material/information collected during a search from...

 

Quick Updates:Latest Updates