Seth Brothers v. CIT

169 CTR 519High Court#9455 most cited

What is Seth Brothers v. CIT authority for?

For assessment to be reopened under Section 148, there must be tangible material, not suspicion, and a clear nexus between the material and the 'reason to believe', avoiding a mere change of opinion.

11

judgments rely on this decision, according to BharatTax’s citation analysis of 366,314 Indian tax judgments — from 2018 to 2025.

Also referred to as

Seth Brothers v CIT · 169 CTR 519 · reassessment · section 148 · reason to believe · material for belief · nexus · change of opinion · borrowed satisfaction · income escaping assessment

Sections most often in play

Section 147Section 148Section 139(1)Section 139(4)Section 142(1)Section 143Section 144Section 144B

Issues it is cited on

material facts necessary for assessmentlive linkorder under section 148a(d)borrowed satisfactionchange of opinionincome escaping assessmenttangible materialsection 148a(b)share application moneyescapement of incomesection 148a(d)reason to believe

Judgments citing Seth Brothers v. CIT

Pramila Agarwal, Jaipur vs. The Income Tax Officer Ward-2(5), Jaipur

In the result, the appeal of the assessee is allowed

ITA 531/JPR/2025[2011-12]Status: DisposedITAT Jaipur10 Oct 2025AY 2011-12
For Appellant: Shri Tarun Mittal, C.AFor Respondent: Shri Gorav Avasthi, JCIT
Section 10(38)Section 147Section 148Section 68

…from some other official, therefore, the action of the ld. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. Further the Hon'ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79) "11 (a) There must be material for belief (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based on suspicion, gossip, rumour o…

Sh. Kapil Taneja, Jaipur vs. The Deputy Commissioner of Income Tax Circle-1, Jaipur

In the result, the appeal of the assessee is allowed

ITA 578/JPR/2025[2017-18]Status: DisposedITAT Jaipur11 Aug 2025AY 2017-18

Bench: DR. S. SEETHALAKSHMI (Judicial Member)

For Appellant: Sh. Tarun Mittal, CAFor Respondent: Sh. Gorav Avasthi, JCIT
Section 144BSection 147Section 148Section 148ASection 151ASection 69A

…d, therefore, the action of the Respondent falls foul of the law laid down by the Supreme Court in Chhugamal Rajpal which is clearly applicable to the facts of these appeals. Further Hon'ble Gujarat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79) "11 (a) There must be material for belief • Circumstances must exist and cannot be deemed to exist for arriving at an opinion. • Reason to believe must be honest and not based on suspicion, gossip, rumour or conju…

Mukesh Jain HUF, Jaipur vs. DCIT, Jaipur

In the result, the appeal of the assessee is allowed

ITA 620/JPR/2025[2010-11]Status: DisposedITAT Jaipur06 Aug 2025AY 2010-11

Bench: Reopening The Assessment & Without Independent Application Of Mind. Thus, The Action Of The Ld. Ao In Reopening The Assessment U/S 148 & The Consequent Reassessment Order So Passed Deserves To Be Held Bad In Law.

For Appellant: Sh. Tarun Mittal, CAFor Respondent: MS. Alka Gautam, CIT-DR
Section 143(3)Section 147Section 148Section 68

…t losses or profits Whether, on facts, impugned reopening notice and further reassessment order passed were to be quashed Held, yes [Paras 6 and 9] [In favour of assessee] Further the Hon'ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79) “11 (a) There must be material for belief (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based on suspicion, gossip, rumour o…

Deputy Commissioner of Income Tax, Jaipur vs. Bharat Spun Pipe and Construction Company, Jaipur

In the result the appeal of the revenue in ITA no

ITA 360/JPR/2025[2017-18]Status: DisposedITAT Jaipur06 Aug 2025AY 2017-18
For Appellant: Shri Tarun Mittal, C.AFor Respondent: Ms. Alka Gautam, (CIT) (V.C.)
Section 144BSection 147Section 148Section 148ASection 153C

…nd, therefore, the action of the Respondent falls foul of the law laid down by the Supreme Court in ChhugamalRajpal which is clearly applicable to the facts of these appeals. Further Hon'ble Gujarat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79) "11 (a) There must be material for belief • Circumstances must exist and cannot be deemed to exist for arriving at anopinion. • Reason to believe must be honest and not based on suspicion, gossip, rumour or conjunc…

Kalindee Estates Private Limited, Jaipur vs. Income Tax Officer, Jaipur

ITA 770/JPR/2024[2010-2011]Status: DisposedITAT Jaipur21 Oct 2024AY 2010-2011
For Appellant: Sh. Tarun Mittal, CAFor Respondent: Sh. Anup Singh, Addl. CIT
Section 143(3)Section 147Section 68

…received from some other official, therefore, the action of the Id. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. The Hon'ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79) “11(a) There must be material for belief (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based on suspicion, gossip, rumour or…

Padmavati Agrico (India) Pvt Ltd, Ajmer vs. ACIT Circle - 1, Ajmer

In the result, the appeal of the assessee is allowed

ITA 702/JPR/2023[2010-11]Status: DisposedITAT Jaipur05 Sept 2024AY 2010-11

Bench: DR. S. SEETHALAKSHMI (Judicial Member)

For Appellant: Sh. Tarun Mittal (CA)For Respondent: Sh. Anoop Singh (Addl. CIT)
Section 143Section 147

…received from some other official, therefore, the action of the ld. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. The Hon’ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79) “11(a) There must be material for belief (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based on suspicion, gossip, rumour or…

ITO Ward-7(2), Jaipur, Ward-7(2) vs. M/S. Silvex & Company G-1/35 to 37, 47, 48 Epip, Jewellery Zone, Sitapura Industrial Area, Jaipur

In the result, the appeal of the assessee is allowed and cross appeal of the Revenue is dismissed

ITA 845/JPR/2019[2012-13]Status: DisposedITAT Jaipur28 Oct 2022AY 2012-13
For Appellant: Shri Manish Agarwal(C.A.)For Respondent: Shri P.R. Meena (CIT) a
Section 143(3)Section 145(3)Section 147Section 148Section 250

…received from some other official, therefore, the action of the ld. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. The Hon’ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79). “11 (a) There must be material for belief M/s Silvex & Co. (India) Ltd. (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based…

M/S. Silvex & Company India Ltd., Jaipur vs. ITO Ward-7(4), Jaipur

In the result, the appeal of the assessee is allowed and cross appeal of the Revenue is dismissed

ITA 834/JPR/2019[2012-13]Status: DisposedITAT Jaipur28 Oct 2022AY 2012-13
For Appellant: Shri Manish Agarwal(C.A.)For Respondent: Shri P.R. Meena (CIT) a
Section 143(3)Section 145(3)Section 147Section 148Section 250

…received from some other official, therefore, the action of the ld. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. The Hon’ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re-opening of the assessment u/s 148 of the Income Tax Act, 1961: (Reproduced in 28 TW 57,79). “11 (a) There must be material for belief M/s Silvex & Co. (India) Ltd. (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based…

Nirmala Agarwal, Jaipur vs. ACIT, Jaipur

In the result, both the appeals of the assessee are allowed

ITA 996/JPR/2016[2008-09]Status: DisposedITAT Jaipur06 Apr 2018AY 2008-09
For Appellant: Shri Manish Agarwal (CA)For Respondent: Shri J.C. Kulhari (JCIT)
Section 132(4)Section 143(3)Section 145(3)Section 148

…received from some other official, therefore, the action of the ld. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. The Hon’ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re- opening of the assessment u/s 148 of the Income Tax Act, 1961: (APB 1-10) (a) There must be material for belief "11 (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based on suspicion, gossip, rumour or conjuncture.…

Nirmala Agarwal, Jaipur vs. ACIT, Jaipur

In the result, both the appeals of the assessee are allowed

ITA 995/JPR/2016[2007-08]Status: DisposedITAT Jaipur06 Apr 2018AY 2007-08
For Appellant: Shri Manish Agarwal (CA)For Respondent: Shri J.C. Kulhari (JCIT)
Section 132(4)Section 143(3)Section 145(3)Section 148

…received from some other official, therefore, the action of the ld. AO in reopening the completed assessment without independent application of mind deserves to be held bad in law. The Hon’ble Gujrat High Court in the case of Seth Brothers Vs. CIT reported in 169 CTR 519 has laid down following principles for the re- opening of the assessment u/s 148 of the Income Tax Act, 1961: (APB 1-10) (a) There must be material for belief "11 (b) Circumstances must exist and cannot be deemed to exist for arriving at an opinion. (c) Reason to believe must be honest and not based on suspicion, gossip, rumour or conjuncture.…

Dwarka Gems Ltd., Jaipur vs. DCIT, Jaipur

In the result, appeal of the assessee is allowed

ITA 71/JPR/2017[2008-09]Status: DisposedITAT Jaipur27 Mar 2018AY 2008-09
For Appellant: Shri Manish Agarwal (C.A.)For Respondent: Shri Ajay Malik (Addl. CIT)
Section 133(6)Section 143(3)Section 145(3)Section 147Section 148

…fore, the action of the AO in reopening the completed assessment without independent application of mind is not valid and bad in law. The ld. A/R of the assessee has relied upon the decision of Hon’ble Gujarat High Court in the case of Seth Brothers vs. CIT, 169 CTR 519 (Guj.) and submitted that there was no material with the AO for having the reason to believe that the income chargeable to tax has escaped assessment. The ld. A/R has further contended that the 5 M/s. Dwarka Gems Ltd., Jaipur. reopening is after the expiry of four years from the end of the assessment year and, therefore, the AO cannot invoke t…