Law:

Section:

2008] 303 ITR 342 [2007] 165 TAXMAN 596 (RAJ.) HIGH COURT OF RAJASTHAN Commissioner of Income-tax v. Smt. Sohan Devi Sodani RAJESH BALIA AND R.P. VYAS, JJ. IT APPEAL NO. 130 OF 2005 JANUARY 4, 2006 Section 147 of the Income-tax Act, 1961 - Income escaping assessment - Non-disclosure of primary facts - Assessment years 1993-94 to 1996-97 - Construction of house by assessee was spread over from financial years 1992-93 to 1998-99 progressively and investment made therein was shown in books of account for each year - For first time, during assessment year 1997-98, ITO referred question about valuation of property under construction to DVO - On basis of report of DVO, proceedings for reassessment were initiated for assessment years 1993-94, 1994-95 and 1996-97 - By adopting valuation submitted by DVO, additions were made on account of investment made in construction - Tribunal found that only basis for reopening assessment for assessment years 1993-94 to 1996-97 was report of valuation officer obtained during assessment year 1997-98; DVO had valued construction raised by assessee on basis of BSR rates of 1998; BSR rates of 1998 could not form basis of estimate of investment shown in books of account by assessee for period prior to 1998 and there being no other material on basis of which Assessing Officer could have reason to believe that assessee had under valued cost of construction during relevant assessment years, formation of belief that income had escaped assessment was founded on no material - Tribunal accordingly held that initiation of reassessment proceedings was without jurisdiction - Whether Tribunal was justified - Held, yes K.K. Bissa for the Appellant. JUDGMENT Rajesh Balia, J. - Heard learned counsel for the appellant. 2. This appeal is directed against the order of Tribunal, Jodhpur Bench, Jodhpur, dated 7-2-2005 and relates to assessment year 1996-97. The facts which have led to filing of this appeal are that the respondent-assessee had constructed a house at Abu Road. The construction of house was spread over from the financial years 1992-93 to 1998-99 progressively. The assessee has shown investment made by him in construction of house in the…

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