“reassessment proceedings”

ReassessmentSections 147-151Sections 147-1518,150 judgments

The decision most relied on for reassessment proceedings is CIT v. Kelvinator of India Ltd. (320 ITR 561), cited in 1,673 judgments on BharatTax.

Leading authorities on reassessment proceedings

CIT v. Kelvinator of India Ltd.

320 ITR 561 · 2010 · Supreme Court

1,673

citing judgments

An Assessing Officer cannot initiate reassessment proceedings under Section 147 of the Income Tax Act based on a mere change of opinion. Reassessment is permissible only when there is fresh tangible material leading to the belief of income escapement, not merely a review of existing facts.

GKN Driveshafts (India) Ltd. v. ITO

259 ITR 19 · 2003 · Supreme Court

1,349

citing judgments

When a notice under Section 148 of the Income Tax Act is issued, the Assessing Officer is bound to furnish reasons for reopening upon the assessee's request and must dispose of the assessee's objections to the notice by passing a speaking order.

ACIT v. Rajesh Jhaveri Stock Brokers Pvt. Ltd.

291 ITR 500 · 2007 · Supreme Court

1,030

citing judgments

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.

Raymond Woollen Mills Ltd. v. ITO

236 ITR 34 · 1999 · Supreme Court

862

citing judgments

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

ITO v. Lakhmani Mewal Das

103 ITR 437 · 1976 · Supreme Court

721

citing judgments

For reassessment proceedings, the 'reason to believe' that income has escaped assessment must be based on some material and not mere suspicion, establishing a live link between the information and the belief. Furthermore, for reassessment beyond four years, there must be a specific finding of the assessee's failure to disclose fully and truly all material facts.

Hindustan Lever Ltd. v. R.B. Wadkar

268 ITR 332 · 2004 · High Court

695

citing judgments

The validity of reassessment proceedings initiated under Section 147, by issuing a notice under Section 148, must be judged solely on the reasons originally recorded by the Assessing Officer. These recorded reasons cannot be supplemented, improved upon, or modified at any later stage.

PCIT v. Meenakshi Overseas Pvt. Ltd.

395 ITR 677 · 2017 · High Court

471

citing judgments

Reassessment proceedings initiated solely based on an investigation wing/appraisal report, without the Assessing Officer's independent application of mind to form a 'reason to believe' that income has escaped assessment, are beyond jurisdiction, bad in law, and void ab initio.

Ranbaxy Laboratories Ltd. v. CIT

336 ITR 136 · 2011 · High Court

398

citing judgments

In reassessment proceedings under Section 147/148, the Assessing Officer can assess other income not specified in the original notice if the initial ground for reopening assessment is found to be valid. However, if the income for which the assessment was initially reopened is found not to have escaped assessment, the Assessing Officer cannot proceed to assess any other income.

Judgments citing reassessment proceedings

DCIT-17(1), Mumbai vs. Navkar Agebcies, Mumbai

In the result, appeal filed by the revenue is dismissed

ITA 7/MUM/2023[2010-11]Status: DisposedITAT Mumbai29 May 2023AY 2010-11

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Bledcit – 17(1) V. M/S. Navkar Agencies C/7, Vireshwar Chaya Room No. 117, 1St Floor Tejpal Road, Vile Parle (E) G-Block, Kautilya Bhavan Mumbai - 400057 Bandra Kurla Complex Bandra(E), Mumbai - 400051 Pan: Aacfn3354L (Appellant) (Respondent)

Section 143(1)Section 147Section 69C

availed accommodation entries from “FAIR CHEM” who are said to be providing accommodation entries without there being transportation of any goods. In the reassessment proceedings, the assessee was asked to prove the genuineness of the purchases made from “FAIR CHEM”. Assessee furnished ledger accounts and other evidences and submitted that

Smt. Satvir Kaur W/O Sh. Shinder Singh, Ferozepur vs. Principal Commissioner of Income Tax-1, Amritsar

In the result, the appeal of the assessee is allowed

ITA 102/ASR/2022[2011-12]Status: DisposedITAT Amritsar29 May 2023AY 2011-12

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

Section 139(1)Section 143(3)Section 148Section 263

assessee as well as her husband including the agricultural income are deposited in the said bank account. 2. During the course of reassessment proceedings u/s 148 of the Act, the assessee filed her return of income wherein, the “Income under head Salaries” was declared ... year 2011- 12. The assessee has also got the salary of Rs. 3,72,646/- in the year. ” c. Thereafter, during the course of reassessment proceedings, a notice u/s 142(1) of the Act was issued to the assessee on 06.07.2018. Thereafter, Sh. Shinder Pal Singh (husband of the assessee

Farah Naaz & Others (L/H of Ghulam Nezami), New Delhi vs. ITO Ward - 1(2), Ghaziabad

In the result, appeal of the assessee is partly allowed

ITA 1889/DEL/2020[2009-10]Status: DisposedITAT Delhi29 May 2023AY 2009-10

Bench: Shri Chandra Mohan Garg & Shri Pradip Kumar Kediaassessment Year: 2009-10

For Appellant: Shri M.K. Bhatt, CA

Section 144Section 147Section 148Section 151Section 292B

inform the Assessing Officer about the death of her father on 22.09.2009 along with copy of death certificate, requesting the Assessing Officer to cancel/drop reassessment proceedings but Assessing Officer did not gave attention to said request and passed reassessment order on 05.12.2016 u/s. 144/147 of the Act only by mentioning ... submitted that where notice seeking to reopen assessment was issued in name of deceased assessee, since she could not have participated in reassessment proceedings, provisions of section 292BB were not applicable to assessee’s case and as a consequence, impugned reassessment proceedings deserved to be quashed. 5. Replying

ACIT Circle-11(2), New Delhi vs. Humboldt Wedag India Private Limited, New Delhi

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

ITA 1413/DEL/2020[2006-07]Status: DisposedITAT Delhi29 May 2023AY 2006-07

Bench: Shri Chandra Mohan Garg & Shri Pradip Kumar Kedia

For Appellant: Shri S.K. Aggarwal, CAFor Respondent: Shri T. James Singson, CIT-DR

Section 147Section 148

facts and in the circumstances of the case and in law, Ld. CIT(A) has erred in not appreciating that reassessment proceedings and the reassessment order passed by the Ld. AO is wrong, bad in law and without jurisdiction and liable to be quashed. 2.1 On the facts ... facts and in the circumstances of the case and in law, the Ld. CIT(A) has failed to appreciate that the reassessment proceedings were initiated by the Ld. AO on the basis of report of investigation wing without appreciating the documentary evidences provided by the appellant and not rebutting

Humboldt Wedag India Pvt. Ltd., New Delhi vs. ACIT, Circle-11(2), New Delhi

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

ITA 1299/DEL/2020[206-07]Status: DisposedITAT Delhi29 May 2023

Bench: Shri Chandra Mohan Garg & Shri Pradip Kumar Kedia

For Appellant: Shri S.K. Aggarwal, CAFor Respondent: Shri T. James Singson, CIT-DR

Section 147Section 148

M/S.U.S.Roofs Limited, Mumbai vs. ACIT-10(3), Mumbai

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

ITA 1960/MUM/2018[2009-10]Status: DisposedITAT Mumbai26 May 2023AY 2009-10

Bench: Shri G.S. Pannu & Shri Sandeep Singh Karhail

For Appellant: Shri Madhur Agrawal a/wFor Respondent: Shri Ankush Kapoor

Section 133ASection 142(1)Section 143(2)Section 143(3)Section 147Section 148Section 250

read with section 147 of the Act is bad in law. The learned AR by referring to the assessment order submitted that, during the reassessment proceedings, the AO issued two notices under section 143(2) of the Act, however, none of them is a valid notice ... rival submissions and perused the material available on record. In the present case, consequent to the survey action under section 133A of the Act, reassessment proceedings under section 147 of the Act were initiated and notice under section 148 of the Act was issued on 24/11/2010. It is undisputed that

Jt.Commissioner of Income Tax 15(3)2, (OSD), Mumbai vs. M/S.U.S.Roofs Limited, Mumbai

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

ITA 1196/MUM/2018[2009-10]Status: DisposedITAT Mumbai26 May 2023AY 2009-10

Bench: Shri G.S. Pannu & Shri Sandeep Singh Karhail

For Appellant: Shri Madhur Agrawal a/wFor Respondent: Shri Ankush Kapoor

Section 133ASection 142(1)Section 143(2)Section 143(3)Section 147Section 148Section 250

Dy, CIT 6(1)(1), Mumbai vs. M/S Epc Offshore Subsea Projects Ltd, Mumbai

ITA 3834/MUM/2017[2009-10]Status: DisposedITAT Mumbai26 May 2023AY 2009-10

For Appellant: Shri Biswanath DasFor Respondent: None

Section 143(3)Section 148Section 68

framed on the Assessee vide order, dated 28/12/2011 accepting the return of income at INR 1,01,83,940/-. Subsequently, reassessment proceedings were initiated as notice, dated 28/03/2014, was issued to the Assessee and order, dated 31/03/2015, was passed under Section 143(3) of the Act. The income of Assessee ... face value of INR 10/- at a premium of INR 30/-. 4. The Assessee preferred appeal before CIT(A) challenging the validity of the reassessment proceedings as well as addition made by the Assessing Officer under Section 68 of the Act on merits. The 2 CIT(A) quashed the notice

Sultan Enterprises Pvt. Ltd, Sundarpada, Bhubaneswar vs. Pr. CIT-1, Bhubaneswar

In the result appeal of the assessee in ITA No

ITA 29/CTK/2023[2015-16]Status: HeardITAT Cuttack26 May 2023AY 2015-16

Bench: Before S/Shri George Mathan, Judicial & And Ramit Kocharassessment Year : 2015-16 Sultan Enterprises Pvt Ltd., Sultan Enterprises Pvt Ltd., Vs. Pr. Cit, Bhubaneswar Pr. Cit, Bhubaneswar-1 At:Plot No.161, Azad Nagar, At:Plot No.161, Azad Nagar, Sundarpada, Bhubaneswar. Sundarpada, Bhubaneswar. Pan/Gir No. Pan/Gir No.Aascs 1016 R (Appellant (Appellant) .. ( Respondent Respondent)

For Appellant: Shri Sidharth Ray, Sr. AdvocateFor Respondent: Shri Abani Kanta Nayak, CIT DR

Section 143(3)Section 263

Section 148, the pre-existing sections 147 to 151 had been repealed and replaced by new provisions. The validity of the reassessment proceedings initiated against the assessees u/s 148 by issuing notices u/s 148 between 01.04.2021 to 30.06.2021 came up for consideration before Hon’ble Allahabad High Court ... held that the reassessment proceedings initiated with the notice u/s 148(deemed to be notice u/s 148-A), issued between 01.04.2021 and 30.06.2021 , cannot be conducted by giving benefit of releaxation/extension under TOLA, 2020, and the time limit prescribed in Section 149(1)(b) (as substituted w.e.f. 01.04.2021) cannot

Stratejic Manufactures India LLP, New Delhi vs. ITO Ward - 38(2), New Delhi

In the result, the appeal of the assessee is partly allowed

ITA 1942/DEL/2020[2010-11]Status: DisposedITAT Delhi26 May 2023AY 2010-11

For Appellant: Ms. Rano Jain, Adv. & Ms. Mansi Jain, CAFor Respondent: Shri Om Prakash, Sr. DR

Section 139Section 147Section 148Section 151

prescribed authority as required u/s 151 of the Income Tax Act, 1961. 3. The learned counsel of the assessee submitted that the initiation of reassessment proceedings is bad in law and liable to be quashed as the condition and procedure prescribed under statue have not been complied and satisfied ... attention towards copy of the reasons recorded available at pages 6 & 7 of first appellate submitted that the Assessing Officer proceeded to initiate reassessment proceedings and issue notice u/s. 148 of the Act, on the pretext that the return of income for AY 2010-11 does not exist

Surinder Kumar Goyal, New Delhi vs. ACIT Circle-60(1), New Delhi

In the result, the appeal of the assessee is partly allowed

ITA 7741/DEL/2019[2007-08]Status: DisposedITAT Delhi26 May 2023AY 2007-08

For Appellant: Ms. Hasneeta Matta, CAFor Respondent: Shri Om Prakash, Sr. DR

Section 147Section 148Section 151Section 69

simply mentioned “approved” without any application of mind to the material placed by the Assessing Officer before him for getting approval for initiation of reassessment proceedings. The learned counsel has also placed reliance on the judgement of Hon’ble Madhya Pradesh High Court in the case

M/S. Patel Ambalal Hargovandas & Co., Surat vs. The DCIT, Central Circle-2, Surat

In the results, appeal filed by Revenue (in IT(SS)A Nos

ITA 185/SRT/2022[2020-21]Status: DisposedITAT Surat26 May 2023AY 2020-21

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं/.It(Ss)A No.49/Srt/2022 Assessment Year: (2019-20) (Physical Hearing) The Acit, Central Circle-2, Vs. Rasikbhai Narottamdas Patel, Surat. Flat No.9-10, Mahavir Nagar Co.Op H.S. Ltd., Bldg-12, Nr. Gayatri Mandir, Udhna Magdalla Road, Surat – 395007. "थायीलेखासं/.जीआइआरसं/.Pan/Gir No.: Adgpp4550M (Appellant) (Respondent) आयकर अपील सं/.It(Ss)A No.86/Srt/2022 Assessment Year: (2015-16) The Dcit, Central Circle-2, Vs. Ashish Karamshibhai Koshiya, Surat. 40, Jivandeep Soceity, Singanpor Road, Katargam, Surat, Gujarat – 395004. "थायीलेखासं/.जीआइआरसं/.Pan/Gir No.: Aojpk1118G (Appellant) (Respondent) आयकर अपील सं/.Ita No.185/Srt/2022 Assessment Year: (2020-21) M/S. Patel Ambalal Hargovandas Vs. The Dcit, Central Circle-2 & Co., Surat. 5/725, Haripura, Bhavaniwad, Opp. Dhobi Sheri, Surat – 395003. "थायीलेखासं/.जीआइआरसं/.Pan/Gir No.: Aadfp2517N (Appellant) (Respondent) Appellant By Shri Ashok B. Koli, Cit(Dr) Shri Vartik Choksi, Shri Biren Shah & Shri Respondent By Nitin Gheewala, Ar Date Of Hearing 26/04/2023 Date Of Pronouncement 26/05/2023 आदेश /O R D E R Per Bench:

Section 132Section 143(3)Section 292CSection 69C

Even if for a moment we agree with the Id. DR that the protective addition is different from substantive addition and hence the reassessment proceedings be upheld, we find that ultimately the same conclusion will follow if the substantive addition is struck down at a place where it was made ... present case, from the reasons recorded by the AO as reproduced hereinabove, we observe that the AO went on to initiate reassessment proceedings u/s 147 and 148 of the Act on the basis of retracted statement of Shri Subhash Gupta without making any further inquiry and investigation. From bare reading

Dy. Commissioner of Income Tax Circle 13(2)(2), Mumbai vs. Sodexo Facilities Management Services India Pvt Ltd, Mumbai

In the result, the appeal filed by Revenue is partly allowed for statistical purposes

ITA 2945/MUM/2022[2012-13]Status: DisposedITAT Mumbai25 May 2023AY 2012-13

Bench: Shri Om Prakash Kant & Ms.Kavitha Rajagopaldcit, Sodexo Facilities Circle-13(2)(2), Management Services बनाम/ Mumbai. India Pvt.Ltd., 1St Floor, Vs. Gemstar Commercial Complex, Ramchandra Lane, Extension Kanchpada, Malad West, Mumbai-400064. "थायीलेखासं./जीआइआरसं./Pan/Gir No. :Aabcs4166M (अपीलाथ"/Appellant) (""थ" / Respondent) अपीलाथ" ओर से/ Appellant By : Shri A.N.Bhalekar, Sr.Ar ""थ" की ओर से/Respondent By: Shri Mrunal Parekh सुनवाई की तारीख/ Date Of Hearing 16/05/2023 घोषणा की तारीख /Date Of Pronouncement 25/05/2023 आदेश / Order Per Om Prakash Kant- Am: This Appeal Filed By The Revenue Is Directed Against The Order Dated 20.09.2022 Passed By Ld Commissioner Of Income-Tax (Appeals)-National Faceless Appeal Centre, Delhi [“In Short The Ld. Cit(A)”]For Assessment Year (“Ay”) 2012-13, Raised Following Grounds: -

For Appellant: Shri A.N.Bhalekar, Sr.ARFor Respondent: Shri Mrunal Parekh

Section 139(1)Section 143(3)Section 147Section 148Section 151(1)Section 43(6)(c)Section 50B(3)

rival submissions on the issue in dispute and perused the relevant material on record. We find that Ld. CIT(A) has invalidated the reassessment proceedings mainly on the ground that there was a “full and true disclosure” on the part of the assessee and the AO has reopened the assessment

Sh. Arashpreet Singh. S/O.Late.Sh. Gurmail Singh, Muktsar vs. Dy. Commissioner of Income Tax .Circle-II, Bathinda

Appeals are disposed of in the terms and observation made as above

ITA 64/ASR/2019[2014-15]Status: DisposedITAT Amritsar25 May 2023AY 2014-15

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

For Appellant: Sh. Parikshit Aggarwal, CAFor Respondent: Sh. S. R. Kaushik, CIT-DR

Section 147Section 148Section 151(2)Section 250(6)Section 282Section 69A

charge of administration of a dental college run by the aforesaid Satguru Foundation. On the basis of the impounded documents, the Assessing Officer initiated reassessment proceedings by issue of notice under section 148 of Income Tax Act after taking mandatory approval of the Ld. PCIT in respect ... categorical admission of having earned income which has escaped assessment. The material is available with the Assessing Officer which is sufficient for initiation of reassessment proceedings. At the stage of issue of notice only prima facie belief is required to the extent that income has escaped assessment which was clearly