This Digest of case laws is prepared by KSA Legal and AIFTP from judgements reported in BCAJ, CTR, DTR, ITD, ITR, ITR (Trib), Chamber's Journal, SOT, Taxman, TTJ, BCAJ, ACAJ, www.itatonline.org and other journals
Click here to download the pdf versions of the Digest of case laws

S. 147 : Reassessment–With in four years-Failure to disclose material facts-Fails to challenge the reopening at the appropriate time before the Court-Not entitled to seek such indulgence, after allowing the Officer to pass the order of assessment-Writ Court cannot sit as an Appellate Authority and decide the merits of the assessment-Writ is held to be not maintainable. [S. 148, Art.226]

Doosan Bobcat India Pvt. Ltd. v. DCIT (2019) 184 DTR 393 / (2020) 312 CTR 257 (Mad.)(HC)

S. 147 : Reassessment-Change of opinion-Business expenditure-Technical know how-Depreciation-TP adjustments were made in the original assessment proceedings-Reassessment is held to be not valid. [S. 32(1)(ii), 37(1)]

CIT v. Hyundai Motor India Ltd. (2019) 267 Taxman 200 (Mad.)(HC)

S. 147 : Reassessment—Change of opinion-Original return processed by intimation No failure to disclose truly and fully all material and no new tangible material available with AO Reassessment is held to be not valid. [S. 143(1), 143(3), 148]

Tenzing Match Works v. Dy. CIT (2019) 419 ITR 338 (Mad.)(HC)

S. 147 : Reassessment-Capital gains-Year of taxability-Transfer of land under Development agreement-Amounts received offered to tax as capital gains and assessed for AY. 1999-2000 up to 2003-04-No adjudication regarding date of effective transfer of land- Reassessment is valid–Tribunal while granting the relief ought to have granted consequential reliefs-AO is directed to give relief for AY.1999-2000 to 2003-04. [S.45, 148, 154, 254(1)]

C. Venkatachalam (HUF) v. ACIT (2019)419 ITR 204 / (2020) 196 DTR 352 /317 CTR 908 (Mad.) (HC) C. Sudarsana Srinivasan (HUF) v. ACIT (2019) 419 ITR 204 / (2020) 196 DTR 352/ 317 CTR 908(Mad.) (HC)

S. 147 : Reassessment-Bogus transactions-Accommodation entries-bogus long term capital gains-Sale of shares-Report by investigation wing–Search of third person-Reasons can be explained further in affidavit-Reasons Can Be Explained Further In Affidavit—Notice of reassessment is held to be valid. [S. 45, 148, 153A(1)(b), Art. 226]

Purnima Komalkant Sharma v. Dy. CIT (2019)419 ITR 361 (Guj.)(HC)

S. 147 : Reassessment-Report of Investigation wing of Income-Tax Department-AO analysing report and forming belief that income had escaped assessment-Reassessment notice is valid. [S.148, Art. 226]

Hemjay Construction Co. Pvt. Ltd. Through Deenaben Yogeshbhai Shah v. ITO (2019)419 ITR 39 /311 CTR 413/ 183 DTR 113(Guj.)(HC)

S. 147 : Reassessment–Based on facts of later assessment year– Tangible material-Reassessment is held to be valid-Income derived from installation and maintenance of Atm Machines—Not entitled to deduction u/s. 80IA. [S. 80IA, 143(1), 143(3), 148]

Diebold Systems Private Limited v. ITO (OSD) (2019) 419 ITR 333 (Mad.)(HC)

S. 147 : Reassessment-Capital gains–Cash sales-Failure to disclose material facts – Notice of reassessment is held to be valid. [S. 45, 48 148, Art.226 ]

J.P. Iscon Ltd. v. Dy. CIT (2019) 267 Taxman 481 / 111 taxmann.com 260 (Guj.)(HC) Editorial: SLP is granted to the assessee, J.P. Iscon Ltd. v. Dy. CIT (2019) 267 Taxman 480 (SC)

S. 147 : Reassessment-Notice-Non disposal of assesses objections-Direction u/s 144A-Assessment without disposing the objection is held to be bad in law-AO is directed to pass the reasoned order after considering the objection. [ S. 144A, 148, Art. 226]

Swadesh Trading Co. v. DCIT (2019) 182 DTR 81 / 310 CTR 810 (Karn.)(HC) Swadesh Trading Co. v. D CIT (2019) 182 ITR 85 / 310 CTR 814 (Karn.)(HC)

S. 147 : Reassessment-After the expiry of four years-Amounts not deductible-Deduction at source–Objection by audit party– Reassessment at the instance of the Audit officer is held to be bad in law. [S. 40)(a)(ia), 148]

PCIT v. Lalit Bagai (2019) 267 Taxman 443 /(2020) 188 DTR 144 (Delhi)(HC)