PRAMOD KUMAR GUPTA,BADAUN vs. ITO WARD 2(3), BADAUN
What did the Tribunal hold?
The Tribunal held that reassessment proceedings are not sustainable when the Assessing Officer does not make any addition based on the sole reason for reopening. The reopening was quashed on this ground.
What were the facts?
The Assessing Officer initiated reassessment proceedings under Section 147 based on capital loss from property sale. However, the assessment framed disallowed the cost of construction instead of addressing the capital loss.
What were the issues?
The primary issue was the validity of the reassessment proceedings initiated by the Assessing Officer. The Tribunal examined whether the assessment framed aligned with the reasons for reopening.
Which sections of the Income-tax Act were involved?
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH: “SMC” NEW DELHI
Before: SHRI SATBEER SINGH GODARA
This assessee’s appeal for assessment year 2020-21, arises against the Commissioner of Income Tax (Appeals)/NFAC, Delhi [in short, the “CIT(A)/ NFAC”], Delhi’s DIN and order no. ITBA/NFAC/S/250/2026-27/1089179431(1), dated 25.05.2026
ITA No. 7452/Del/2026
involving proceedings under section 147 r.w.s. 144 of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’).
Heard both the parties. Case file perused.
Coming to the first and foremost legal issue of validity of the impugned reopening between the parties, it transpires from the perusal of the case records that the learned Assessing Officer had set into motion section 148/147 proceedings for the purposes of assessing the assessee’s capital loss arising from sale of her immovable property/asset, whereas the assessment framed in her case on 20th February, 2025 has ended up in disallowing the cost of construction coming to Rs.14,14,345/- only. That being the clinching factual position, I hereby quote Ranbaxy Laboratory Vs. CIT (2011) 335 ITR 136 (Del) and CIT Vs. Jet Airways (I) Ltd. (2011) 331 ITR 236 (Bom.) holding that such a reopening wherein the learned Assessing Officer does not make any addition qua the sole reason therein; is not sustainable in law. The same stands quashed in very terms therefore.
All other pleadings between the parties on merits stands rendered academic. 2
ITA No. 7452/Del/2026
This assessee’s appeal is allowed.
Order pronounced in the open court on 19th August, 2026
Sd/- (SATBEER SINGH GODARA) JUDICIAL MEMBER Dated: 25/08/2026. Binita, Sr. PS Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, New Delhi
More judgments on Section 147
- ACIT Central Bilaspur, Bilaspur vs Arun Kumar Agrawal, SaktiITSSA 26/RPR/2025[2018-19]Status: Disposed21 Oct 2026AY 2018-19
- Vinod Agrawal, Kawardha vs Assisstant Commissioner of Income Tax…ITA 666/RPR/2026[2019-20]Status: Heard21 Oct 2026AY 2019-20
- Sar Business Tradelink Private Limited… vs Income Tax Officer, Ward - 1(2), RaipurITA 599/RPR/2026[2014-15]Status: Heard21 Oct 2026AY 2014-15
- Tarunaben Maganlal Bhut, Navagam vs ITO Ward 2(2)(1), RajkotITA 673/RJT/2026[2024-25]Status: Disposed21 Oct 2026AY 2024-25
- Neo Incorporation, Rajkot vs DCIT Circle- 1(2), RajkotITA 471/RJT/2026[2012-2013]Status: Disposed21 Oct 2026AY 2012-2013
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