Dismissing the appeal of the revenue, the Tribunal held that; Even in a s.143(1) intimation, the AO is not entitled to reopen on the ground that the assessee has received “huge share premium” which was not “examined” by the AO. The AO cannot reopen in the absence of tangible material that shows income has escaped assessment. (ITA No. 1462/Mum/2017, dt. 26.09.2018) (AY. 2009-10)
DCIT v. Kargwal Products P. Ltd. (Mum.)(Trib.), www.itatonline.org
S. 147 : Reassessment-Intimation-Bogus share capital-Share premium- Reopening for taxing Bogus share capital: Even in a s. 143(1) intimation, the AO is not entitled to reopen on the ground that the assessee has received “huge share premium” which was not “examined” by the AO. The AO cannot reopen in the absence of tangible material that shows income has escaped assessment. [ S. 68, 143(1)]