SUSHMA SINGH vs. ASSISTANT COMMISSIONER OF INCOME TAX

PDF · subscribers
ITA/35/2019HC RajasthanRJHC02023666201919 July 2019Bench: S. RAVINDRA BHAT,SANJEEV PRAKASH SHARMA3 pages
AI SummaryDismissed

What did the High Court hold?

The High Court dismissed all the appeals. The Court found that the ITAT, in exercising its appellate powers, was justified in remanding the matters for fresh consideration. The reasoning was that the reopening of assessment was based on information received as a consequence of search and seizure proceedings. The Court held that the consistent view taken by the Revenue Authorities that there was a reason to believe within the meaning of the expression was correct, particularly concerning the challenge to the remand order. The Court opined that the ITAT was justified in requiring a proper analysis of the materials and facts available to the Revenue Authority. No specific issue was left undecided; the appeals were decided on merits.

What were the facts?

These are six Income Tax Appeals filed by various assessees (Subhash Singh, Faujdar Cold Storage Private Ltd, Natthi Singh HUF, Vimlesh Faujdar, Bharatpur Cold Storage Private Limited, and Sushma Singh) against the Assistant Commissioner of Income Tax, Circle-Bharatpur. The appeals challenge orders passed by the Income Tax Appellate Tribunal (ITAT). The ITAT had remanded the matters for fresh consideration. The assessees questioned the reopening of assessments under Section 147/148 of the Income Tax Act. The Revenue Authorities had taken a consistent view that there was reason to believe for reopening the assessment, based on information received as a consequence of search and seizure proceedings. The High Court was considering the challenge to the ITAT's remand order.

What were the issues?

1. Whether the reopening of assessment under Section 147/148 of the Income Tax Act, 1961, was valid, considering the information received as a consequence of search and seizure proceedings. Assessee's contention: The assessees questioned the validity of the reopening of their assessments under Section 147/148 of the Income Tax Act. The judgment does not explicitly detail the specific arguments raised by the assessees against the reopening, other than stating they questioned it. Revenue's contention: The Revenue Authorities maintained that there was a valid reason to believe for reopening the assessment, as the reopening was based on information obtained from search and seizure proceedings. The High Court found this consistent view of the Revenue Authorities to be correct regarding the challenge to the remand order.

Which sections of the Income-tax Act were involved?

Section 147,Section 148

AI-generated summary — verify with the full judgment below

HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Income Tax Appeal No. 36/2019 Subhash Singh, Having His Address At Old Bayana Bus Stand, Bharatpur In The State Of Rajasthan. ----Appellant Versus Assistant Commissioner Of Income Tax, Circle- Bharatpur, Bharatpur, Having Its Address At Pai Bagh, Bharatpur In The State Of Rajasthan. ----Respondent with D.B. Income Tax Appeal No. 25/2019 Faujdar Cold Storage Private Ltd, Having his address at Old Bayana Bus Stand, Bharatpur in the State of Rajasthan Assessee-Appellant versus Assistant Commissioner Of Income Tax, Circle- Bharatpur, Bharatpur, Having Its Address At Pai Bagh, Bharatpur In The State Of Rajasthan. Respondent with D.B. Income Tax Appeal No. 26/2019 Natthi Singh HUF Having his address at Old Bayana Bus Stand, Bharatpur in the State of Rajasthan Assessee-Appellant versus Assistant Commissioner Of Income Tax, Circle- Bharatpur, Bharatpur, Having Its Address At Pai Bagh, Bharatpur In The State Of Rajasthan. Respondent with D.B. Income Tax Appeal No. 27/2019

(2 of 3) [ITA-36/2019] Vimlesh Faujdar Having his address at Old Bayana Bus Stand, Bharatpur in the State of Rajasthan Assessee-Appellant versus Assistant Commissioner Of Income Tax, Circle- Bharatpur, Bharatpur, Having Its Address At Pai Bagh, Bharatpur In The State Of Rajasthan. Respondent with D.B. Income Tax Appeal No. 34/2019 Bharatpur Cold Storage Private Limited, Having his address at Old Bayana Bus Stand, Bharatpur in the State of Rajasthan Assessee-Appellant versus Assistant Commissioner Of Income Tax, Circle- Bharatpur, Bharatpur, Having Its Address At Pai Bagh, Bharatpur In The State Of Rajasthan. Respondent with D.B. Income Tax Appeal No. 35/2019 Sushma Singh Having his address at Old Bayana Bus Stand, Bharatpur in the State of Rajasthan Assessee-Appellant versus Assistant Commissioner Of Income Tax, Circle- Bharatpur, Bharatpur, Having Its Address At Pai Bagh, Bharatpur In The State Of Rajasthan. Respondent

(3 of 3) [ITA-36/2019] For Appellant(s) : Mr. Siddharth Ranka HON'BLE THE CHIEF JUSTICE HON'BLE MR. JUSTICE SANJEEV PRAKASH SHARMA Judgment 19/07/2019 1. The ITAT in all these appeals has remanded the matter for fresh consideration, so the Assessee had questioned the re- opening of assessment in these proceedings. The contentions wee negated with respect to re-assessment under Section 147/148 concurrently by all the four. 2. Having regard to the record, which clearly reveals that the re-opening was on account of information received, as a consequence of search and seizure proceedings. This Court is of the opinion that consistent view taken by the Revenue Authorities that there was reason to believe within the meaning of expression, is correct as far as the challenge to the remand order is concerned, the Court is of the opinion that the ITAT exercising its appellate powers was justified in requiring proper analysis of the materials and facts available for the Revenue Authority. 3. The appeals, are therefore dismissed. All pending applications also stand dismissed.

(SANJEEV PRAKASH SHARMA),J (S. RAVINDRA BHAT),CJ Anil Makwana/65

More judgments on Section 147

All 49,210 judgments and leading authorities on Section 147 →

Recent GST High Court judgments

Search GST case law →