The Tax Publishers2020 TaxPub(DT) 4594 (Kol-Trib)

INCOME TAX ACT, 1961

Section 147, Proviso

Reopening of assessment after expiry of four years from the end of relevant assessment year, however, in the absence of assessee's failure to disclose fully and truly all material facts, was hit by proviso to section 147 and was, therefore, set aside.

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

AO reopened assessment after expiry of four years from the end of relevant assessment year so as to make addition under section 68 on account of unexplained credit. Assessee challenged this in view of proviso to section 147.Held: AO in the notice issued under section 148 nowhere stated that income had escaped assessment on account of failure on part of assessee to disclose fully and truly all material facts necessary for assessment. Accordingly, reopening of assessment beyond four years was hit by proviso to section 147 and, therefore, reassessment was quashed as invalid.

REFERRED :

FAVOUR : In assessee's favour

A.Y. : 2012-13

IN THE ITAT, KOLKATA BENCH

J. SUDHAKAR REDDY, A.M. & S.S. GODARA, J.M.

Dy. CIT v. Gaurav Rose Real Estate (P) Ltd.

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