ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd.

291 ITR 500Supreme Court of India2007#41 most cited

What is ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. authority for?

For initiating reassessment proceedings under Section 147, the Assessing Officer needs only prima facie material providing a reason to believe that income has escaped assessment. Conclusive proof or the sufficiency/correctness of the material is not required at the stage of issuing the notice under Section 148.

1,030

judgments rely on this decision, according to BharatTax’s citation analysis of 367,154 Indian tax judgments — from 2008 to 2026.

Also referred to as

ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. · Rajesh Jhaveri · 291 ITR 500 · Section 147 · Section 148 · reason to believe · income escaping assessment · prima facie material · tangible material · validity of reopening · initiation of reassessment · sufficiency of material

Sections most often in play

Section 147Section 148Section 143(3)Section 143(1)Section 142(1)Section 68Section 133ASection 143(2)
Read the full judgment

Issues it is cited on

section 147(a)fresh tangible materiallive linkmaterial facts necessary for assessmentmere change of opinionkelvinatortangible materialchange of opinionreason to believeescapement of incomeborrowed satisfactionincome escaping assessment

Judgments citing ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd.

K. Kathirvel, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2686/CHNY/2024[2013-14]Status: DisposedITAT Chennai09 Apr 2025AY 2013-14

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

P. Karunanithi, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2685/CHNY/2024[2013-14]Status: DisposedITAT Chennai09 Apr 2025AY 2013-14

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

Ramasamy Palanisamy, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2591/CHNY/2024[2013-14]Status: DisposedITAT Chennai09 Apr 2025AY 2013-14

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

Ramasamy Palanisamy, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2590/CHNY/2024[2012-13]Status: DisposedITAT Chennai09 Apr 2025AY 2012-13

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

Palanisamy Gounder Loganathan, Karur vs. ITO, Ward-1, Karur

ITA 2589/CHNY/2024[2013-14]Status: DisposedITAT Chennai09 Apr 2025AY 2013-14

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अधिकरण, 'सी' न्यायपीठ, चेन्नई। IN THE INCOME TAX APPELLATE TRIBUNAL'C' BENCH: CHENNAI श्री एबी टी. वर्की, न्यायिक सदस्य एवं श्री जगदीश, लेख सदस्य के समक्ष BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER | ITA Nos. | Assessment year | Appellant | |---|---|---| | 1341/CHNY/2024 | 2012-13 | Shri Nochipalayam Kaliappan Kandasamy, 19/A1, Neelam Garden Apts., Chinna Kothur, Karur - 639 002. PAN: AAHPK 7003Q | Respondent | |---|---| | The ACIT, Circle 2(1), Trichy. | | 2584/CHNY/2024 | 2012-13 | Shri S.Aravind, S.F.No.146, OthaiyoorRaod, T.ChellandiPalayam, Karur 639 003. | T…

M. Velusamy, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2587/CHNY/2024[2013-14]Status: DisposedITAT Chennai09 Apr 2025AY 2013-14

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

M. Velusamy, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2586/CHNY/2024[2012-13]Status: DisposedITAT Chennai09 Apr 2025AY 2012-13

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

S. Aravind, Karur vs. ITO, Ward-1, Karur

In the result, all the appeals t, all the appeals stand allowed

ITA 2584/CHNY/2024[2012-13]Status: DisposedITAT Chennai09 Apr 2025AY 2012-13

Bench: Shri Aby T. Varkey & Shri Jagadish

…आयकर अपीलीय अिधकरण, ‘सी’ "ायपीठ,चे"ई। IN THE INCOME TAX APPELLATE TRIBUNAL‘C’ BENCH: CHENNAI "ी एबी टी. वक", "ाियक सद" एवं "ी जगदीश, लेखा सद" के सम$ BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER ITA Nos. Appellant Respondent Assessment year 1341/CHNY/2024 2012-13 Shri Nochipalayam The ACIT, Kaliappan Kandasamy, Circle 2(1), 19/A1, Neelam Garden Apts., Trichy. Chinna Kothur, Karur – 639 002. PAN: AAHPK 7003Q 2584/CHNY/2024 2012-13 Shri S.Aravind, The Income Tax S.F.No.146, OthaiyoorRaod, Officer, T.ChellandiPalayam, Ward – 1, 2585/CHNY/2024 2013-14 Karur – 639 003. Karur. PAN: A…

Kumar Ramesh Sahu, Rajkot, Gujarat vs. ACIT, Circle-2(2), Rajkot, Gujarat

In the result, the appeal of the assessee is partly allowed for statistical purposes

ITA 336/RJT/2023[2009-10]Status: DisposedITAT Rajkot04 Apr 2025AY 2009-10

Bench: Dr. Arjun Lal Saini & Shri Dinesh Mohan Sinhaआयकर अपील सं./I.T.A. No.336/Rjt/2023 (िनधा"रण वष" / Assessment Year : 2009-10) Kumar Ramesh Sahu बनाम/ The Acit, Sundaram, 72/3, New Cirtcle-2(3) Vs. College Wadi Rajkot – 60 001 150Ft5. Ring Road Opp. Meera Apartment Rajkot – 360 005 (Gujarat) "ायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aesps 5531 C (अपीलाथ" /Appellant) (""थ" / Respondent) .. Assessee By : Shri M.N. Manvar, Ld. Ar Revenue By : Shri Abhimanyu Singh Yadav, Ld. Sr. Dr सुनवाई की तारीख / Date Of Hearing 13/01/2025 घोषणा की तारीख /Date Of Pronouncement 04/04/2025 आदेश / O R D E R Per Dinesh Mohan Sinha:

For Appellant: Shri M.N. Manvar, Ld. ARFor Respondent: Shri Abhimanyu Singh Yadav, Ld. Sr. DR
Section 143(1)Section 143(3)Section 147Section 148Section 271(1)Section 54Section 68

…when the Ld. AO failed to record his own satisfaction as to the escapement of income by the Appellant. 13. The Ld. DR. has relied on two judgments of the Hon'ble Supreme Court in the case of ACIT vs. Rajesh Jhaveri Stock Brokers Pvt. Ltd. reported at (2007) 291 ITR 500 and in the case of Raymond Woollen Mills Ltd. vs. ITO (1999) 236 ITR 34 (SC). Relevant portion of judgement is reproduced hereunder: "In this case, we do not have to give a final decision, as to whether there is suppression of material facts by the assessee or not. We have only to see whether there was prima facie some material on the basis of w…

Shri Salasar Balaji Developers Pvt. Ltd, Jaipur vs. Income Tax Officer, Ward 2(2), Jaipur

In the result, the appeal of the assessee is allowed

ITA 1186/JPR/2024[2012-13]Status: DisposedITAT Jaipur02 Apr 2025AY 2012-13

Bench: Shri Gagan Goyal & Shri Narinder Kumar

For Appellant: Mr. Saurav Harsh, Adv., Ld. ARFor Respondent: Mr. Manoj Kumar, JCIT, Ld. DR
Section 132Section 143(3)Section 148Section 250Section 68Section 69C

…assessee filed return for A.Y. 2012-13 declaring income at Rs.491360/-. Hence the amount of accommodation entry Rs. 2,01,00,440/- is not verifiable. 4.1 The Hon'ble Supreme Court of India has held in the case of ACIT Vs. Rajesh Jhaveri Stock Brokers (P) Ltd. 291 ITR 500 (SC) that 'Under section 147, as substituted w.e.f. 1st April 1989, if the AO, for whatever reason, has reason to believe that income has escaped assessment, it confers jurisdiction to reopen the assessment where the case is not covered by proviso to section 147. 4.2 The assessee has also raised objection that any general statement without going…

ACIT, Range-I, Lucknow vs. M/S Apco Infratech Pvt. Ltd., Lucknow

ITA 454/LKW/2020[2017-18]Status: DisposedITAT Lucknow02 Apr 2025AY 2017-18

Bench: Shri Anadee Nath Misshra & Shri Subhash Malguria

Section 143(1)Section 143(2)Section 143(3)Section 80I

…ion 139(5) (revised return), provides the framework for rectifying mistakes in returns, but only within the specified time limit (typically within one year from the end of the relevant assessment year). In CIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. (2007) 291 ITR 500 (SC), the Supreme Court upheld the principle that once a return has been filed and accepted, any changes or claims can only be made within the statutory framework and timeline, and not beyond. The judgment reiterated that the tax return must reflect all claims, and a post-filing claim outside the statutory limits is impermissible. Taxpayer's Duty…

M/S. Apco Infratech Pvt. Ltd., Lucknow vs. ACIT-I, Lucknow

In the result, appeals vide I

ITA 357/LKW/2020[2017-18]Status: DisposedITAT Lucknow02 Apr 2025AY 2017-18

Bench: Shri Anadee Nath Misshra & Shri Subhash Malguria

Section 143(1)Section 143(2)Section 143(3)Section 80I

…on 139(5) (revised return), provides the framework for rectifying mistakes in returns, but only within the specified time limit (typically within one year from the end of the relevant assessment year). In CIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. (2007) 291 ITR 500 (SC), the Supreme Court upheld the principle that once a return has been filed and accepted, any changes or claims can only be made within the statutory framework and timeline, and not beyond. The judgment reiterated that the tax return must reflect all claims, and a post-filing claim outside the statutory limits is impermissible. Taxpayer's Dut…

Ambaji Avenues Private Limited, Mumbai vs. Income Tax Officer, Ward - 9(1) (2), Mumbai

In the result, the appeal filed by the Assessee is allowed

ITA 5216/MUM/2024[2012-13]Status: DisposedITAT Mumbai28 Mar 2025AY 2012-13

Bench: Shri Narender Kumar Choudhryassessment Year: 2012-13

For Appellant: Shri Ramesh Malpani, Ld. A.RFor Respondent: Shri Kiran Unavekar, Ld. Sr. D.R
Section 133(6)Section 142(1)Section 143(1)Section 147Section 148Section 250Section 68

…gned order dt. 12th Dec., 2014 allowed the respondent-assessee's appeal. 8. Mr. Mohanty, learned counsel for the Revenue, submits that in view of the apex Court's decision in Asstt. CIT vs. Rajesh Jhaveri Stock Brokers (P) Ltd. (2007) 210 CTR (SC) 30: (2007) 291 ITR 500 (SC) is entitled to reopen an assessment for whatever reason. In particular, he places reliance upon the following sentence in para 17 of the above decision i.e., 'In other words, if the AO for whatever reason, has reason to believe that income has escaped assessment it confers jurisdiction to reopen the assessment. Therefore, this reopening noti…

Commr of Income Tax [TDS], Hyderabad vs. M/S Jayadarshini Housing Pvt Ltd., Hyderabad

ITTA/65/2014HC Telangana26 Mar 2025

Bench: P.SAM KOSHY,NARSING RAO NANDIKONDA

Income Tax Officer, Mumbai vs. Blue Moon Housing 7 Development Pvt Ltd, Mumbai

In the result, the appeal by the Revenue is allowed, while the cross objection by the assessee is dismissed

ITA 4849/MUM/2024[2013-14]Status: DisposedITAT Mumbai21 Mar 2025AY 2013-14

Bench: Amarjit Singh & Shri Sandeep Singh Karhail

For Appellant: Shri Jay BhansaliFor Respondent: Ms. Monika H. Pande, Sr. AR
Section 143(1)Section 143(3)Section 147Section 148Section 250Section 68Section 69

…idered view that the information received from the Investigation Wing, Mumbai constitutes new and tangible material for initiating the reassessment proceedings in the case of the assessee. In ACIT v/s Rajesh Jhaveri Stock Brokers (P.) Ltd., reported in [2007] 291 ITR 500 (SC), the Hon’ble Supreme Court held that if there is relevant material on the basis of which a reasonable person can form a requisite belief that income chargeable to tax has escaped assessment, then proceedings under section 147 of the Act can be validly initiated. Further, it is also well settled that the sufficiency or correctness of the mate…

DCIT, New Delhi vs. M/S. Moderate Credit Corporation Pvt. Ltd., West Bengal

ITA 6223/DEL/2015[2009-10]Status: DisposedITAT Delhi17 Mar 2025AY 2009-10

Bench: Sh. Satbeer Singh Godara & Sh. Avdhesh Kumar Mishra

Section 147

…was valid it has only to be seen whether there was prima facie some material on the basis of which the AO could reopen the case. Further, she placing reliance on the decision of the Hon’ble Supreme Court in the case of Rajesh Jhaveri Stock Brokers (P.) Ltd.; 291 ITR 500, submitted that so long as the conditions of section 147 of the Act were fulfilled, the AO was justified to initiate proceedings under section 147 of the Act. 7. On the other hand, the Ld. Counsel submitted that assessees, vide COs, had challenged the validity of reopening of assessments; inter alia, valid approval and jurisdiction. It was submi…

Income Tax Officer, Jaipur vs. Kedia Builders and Colonizers Private Limited, Jaipur

In the result, all appeals of the revenue are stands dismissed

ITA 901/JPR/2024[2014-15]Status: DisposedITAT Jaipur11 Mar 2025AY 2014-15

Bench: DR. S. SEETHALAKSHMI (Judicial Member)

For Appellant: Sh. Sidharth RankaFor Respondent: Mrs. Anita Rinesh, JCIT-DR
Section 143(3)Section 147

…e completion of assessment, which is a sound basis for exercising powers under Section 147 read with Section 148? Submission: 1. “Reason to Believe” – Not “Reason to Suspect” 1.1. The Hon’ble Supreme Court in ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. [291 ITR 500 (SC)] clarified that at the stage of reopening, the AO only needs “reason to believe,” not conclusive evidence of escapement. 1.2. In this case, detailed investigation reports from DDIT (Investigation), Kolkata, revealed the modus operandi of shell companies controlled by Shri Mukesh Banka. This provided a sound basis for reopening. 2. Informati…

Income Tax Officer, Jaipur vs. Kedia Builders and Colonizers Private Limited, Jaipur

In the result, all appeals of the revenue are stands dismissed

ITA 875/JPR/2024[2016-17]Status: DisposedITAT Jaipur11 Mar 2025AY 2016-17
For Appellant: Sh. Sidharth RankaFor Respondent: Mrs. Anita Rinesh, JCIT-DR
Section 143(3)Section 147

…completion of assessment, which is a sound basis for exercising powers under Section 147 read with Section 148? Submission: 1. “Reason to Believe” – Not “Reason to Suspect” 1. 1. The Hon’ble Supreme Court in ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. [291 ITR 500 (SC)] clarified that at the stage of reopening, the AO only needs “reason to believe,” not conclusive evidence of escapement. 1. 2. In this case, detailed investigation reports from DDIT (Investigation), Kolkata, revealed the modus operandi of shell companies controlled by Shri Mukesh Banka. This provided a sound basis for reopening. 2. Inform…

Income Tax Officer, Jaipur vs. Kedia Builders and Colonizers Private Limited, Jaipur

ITA 873/JPR/2024[2013-14]Status: DisposedITAT Jaipur11 Mar 2025AY 2013-14
For Appellant: Sh. Sidharth RankaFor Respondent: Mrs. Anita Rinesh, JCIT-DR
Section 143(3)Section 147

…he completion of assessment, which is a sound basis for exercising powers under Section 147 read with Section 148? Submission: 1. “Reason to Believe” – Not “Reason to Suspect” 1. 1. The Hon’ble Supreme Court in ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. [291 ITR 500 (SC)] clarified that at the stage of reopening, the AO only needs “reason to believe,” not conclusive evidence of escapement. 1. 2. In this case, detailed investigation reports from DDIT (Investigation), Kolkata, revealed the modus operandi of shell companies controlled by Shri Mukesh Banka. This provided a sound basis for reopening. 2. Informat…

Income Tax Officer, Jaipur vs. Kedia Builders and Colonizers Private Limited, Jaipur

In the result, all appeals of the revenue are stands dismissed

ITA 872/JPR/2024[2012-13]Status: DisposedITAT Jaipur11 Mar 2025AY 2012-13
For Appellant: Sh. Sidharth RankaFor Respondent: Mrs. Anita Rinesh, JCIT-DR
Section 143(3)Section 147

…he completion of assessment, which is a sound basis for exercising powers under Section 147 read with Section 148? Submission: 1. “Reason to Believe” – Not “Reason to Suspect” 1. 1. The Hon’ble Supreme Court in ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd. [291 ITR 500 (SC)] clarified that at the stage of reopening, the AO only needs “reason to believe,” not conclusive evidence of escapement. 1. 2. In this case, detailed investigation reports from DDIT (Investigation), Kolkata, revealed the modus operandi of shell companies controlled by Shri Mukesh Banka. This provided a sound basis for reopening. 2. Informat…