The Tax Publishers2020 TaxPub(DT) 3323 (Del-Trib)

INCOME TAX ACT, 1961

Section 147, Proviso

There was no allegation in the reasons recorded that there was failure on the part of the assessee to disclose fully and truly all material facts necessary for completion of assessment, therefore, the notice issued under section 148 after a period of four years from the end of relevant assessment year in the instant case was illegal and invalid being without jurisdiction.

Reassessment - Beyond four years - no failure to disclose fully and truly all material facts -

AO reopned assessment after expiry of four years from the end of relevant assessment year on the ground that long-term capital gain to the extent of Rs. 1 crore had escaped assessment. Assessee challenged this in view of proviso tosection 147.Held: Original assessment was framed under section 147/143(3) accepting returned income wherein issue of capital gain on transfer of such land was duly considered and accepted on the basis of various supporting documents filed at the time of such reassessment proceedings and since there was no allegation in the reasons recorded that there was failure on the part of the assessee to disclose fully and truly all material facts necessary for completion of assessment, therefore, the notice issued under section 148 after a period of four years from the end of relevant assessment year in the instant case was illegal and invalid being without jurisdiction.

Relied:Shri Narayan Singh [HUF] v. ITO [ITA No. 3935/Del/2017, Order, dated 11-6-2020].

REFERRED :

FAVOUR : In assessee's favour.

A.Y. : 2009-10

IN THE ITAT, DELHI BENCH

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