Law:

Section:

Section 147 of the Income-tax Act, 1961 - Income escaping assessment - General - Assessment year 2004-05 - Reopening of assessment without communication of reasons for reopening and without furnishing to assessee an opportunity of filing its objections is not valid [In favour of assessee] The assessee challenged order passed by the Assessing Officer following reopening of the assessment without communication of the reasons for the reopening and without furnishing to the assessee an opportunity of filing its objections. Held that there had been a complete violation of the applicable principles of law by the Assessing Officer. The Assessing Officer was required to communicate the reasons for reopening the assessment which he had failed to do. The Assessing Officer had failed to provide an opportunity to the assessee to submit its objections to the reopening of the assessment. The impugned order of assessment had been passed in a brazen violation of the governing principles of law and, therefore, was liable to be quashed. CASES REFERRED TO GKN Driveshafts (India) Ltd. v. ITO [2003] 259 ITR 19/[2002] 125 Taxman 963 (SC) (para 1). JUDGMENT 1. The grievance of the petitioner in these proceedings under article 226 of the Constitution is that an order of assessment was passed by the Assessing Officer on December 29, 2011, for the assessment year 2004-05 following a reopening of the assessment under section 148 of the Income-tax Act, 1961, without communication of the reasons for the reopening and without furnishing to the petitioner an opportunity of filing its objections as mandated in the judgment of the Supreme Court in GKN Driveshafts (India) Ltd. v. ITO [2003] 259 ITR 19/[2002] 125 Taxman 963. Having regard to this grievance, a brief reference to the facts would be in order. 2. A notice was issued to the petitioner under section 148 on August 23, 2010, seeking to reopen the assessment for the assessment year 2004-05, beyond a period of four years of the end of the relevant assessment year. The petitioner by its letter dated December 22, 2011, sought a disclosure of the reasons and an opportunity to file its objections to the reopening of the assessment in terms of…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492