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
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S. 148 : Reassessment-Notice-Law laid down by Supreme Court not followed-Matter remanded to Assessing Officer. [S. 147, Art. 226]

Pannalal Madan Bai v. ACIT (2022) 448 ITR 298 /(2023) 333 CTR 329/ 226 DTR 217 (Mad.)(HC) Pannalal Kochar v. ACIT (2022) 448 ITR 298 /(2023) 333 CTR 329/ 226 DTR 217(Mad.)(HC) Editorial : Decision of single judge in Pannalal Kochar v. ACIT (2022) 19 ITR-OL 606 //(2023) 333 CTR 333(Mad)(HC)/), Pannalal Madan Bai v. ACIT Pannalal Madan Bai v. ACIT (2023 ) 333 CTR 333 (Mad)( HC) affirmed., affirmed.

S. 148 : Reassessment-Notice-Notice should be issued by Assessing Officer who has jurisdiction over assessee. [S. 129, 147, 148(1), 148(2), Art. 226]

Charu K. Bagadia v. ACIT (No. 2) (2022) 448 ITR 563 / 327 CTR 419 / 215 DTR 361 (Mad.)(HC) Editorial : Decision of the single judge in Charu K. Bagadia v. ACIT (No. 1. (2022) 448 ITR 560 / 327 CTR 431 / 215 DTR 372 (Mad.)(HC) reversed.

S. 147 : Reassessment-Notice-Reasons recorded unfounded-No failure to disclose material facts-Violation of principle of natural justice-Notice without jurisdiction-Strictures-Reassessment done without adhering to the rule of law-Illegal demand and order quashed-Cost of 50,00,000 was awarded on Department-Government to frame Circular-Alternative remedy is not a bar to maintain writ petition. [S. 144B, 148, Art. 226]

S.R. Cold Storage v. UOI (2022) 448 ITR 37 / 217 DTR 102 / 328 CTR 272/ 289 Taxman 580 (All.)(HC)

S. 147 : Reassessment-Notice-Best judgment assessment-Capital gains-Reasons recorded non-existent-Notice and subsequent reassessment order quashed. [S. 45, 144, 144B, 148, Art. 226]

Prakhar Tandon v. Assessing Officer (2022) 448 ITR 177 / 288 Taxman 133 / 220 DTR 195(All.)(HC)

S. 147 : Reassessment-Addition made on the basis of for reopening assessment was deleted by CIT(A)-Other income cannot be assessed on the basis of invalid notice. [S. 148]

CIT (E) v. B. P. Poddar Foundation for Education (2022) 448 ITR 695 (Cal.)(HC)

S. 147 : Reassessment-After the expiry of four years-No failure to disclose material facts-Shares received as gift and their value disclosed in original assessment-Reassessment notice is not valid. [S. 52(vii)(b), 148, Art. 226]

Azim Premji Trustee Co. Pvt. Ltd. v. PCIT (2022) 448 ITR 356 /( 2023) 331 CTR 113/ 222 DTR 75(Karn.)(HC)

S. 145 : Method of accounting-Rejection of accounts-Estimate should be fair-Local knowledge and circumstances of assessee should be taken into consideration-Order of Tribunal affirmed. [S. 145(3), 260A]

PCIT v. Smart Value Products and Services Ltd. (2022) 448 ITR 145 (HP)(HC)

S. 145 : Method of accounting-Change of method-Mercantile System of accounting to completed contract accounting-Change is bonafide-Income-Accrual-Bills certified as relating to work completed in relevant assessment year cannot be recognised as receipts and brought to tax. [S. 4, 5]

CIT v. Bhageeratha Engineering Ltd. (No. 1) (2022) 448 ITR 81/288 Taxman 737 (Ker.)(HC) CIT v. Bhageeratha Engineering Ltd. (No. 2) (2022) 448 ITR 93/142 Taxmann.com 155 (Ker.)(HC)Editorial: SLP of revenue dismissed , CIT v .Bhageeratha Engineering Ltd. (No. 2)( 2022) 289 Taxman 10(SC)

S. 144B : Faceless Assessment-Orders passed without affording reasonable time to respond to final show-cause notice-Order set aside and matter remanded to Assessing Officer. [S. 147, 148, Art. 226]

Pesco Beam Environmental Solutions Pvt. Ltd. v. NAFC (2022) 448 ITR 122 (Mad.)(HC)

S. 132(9B) : Search and seizure-Provisional attachment-Repatriation of royalty or dividend-Interim order-Modification-Provisional attachment and barring repatriation of moneys abroad-Conditions modified subject to creating additional lien by way of fixed deposit in bank. [S. 132, Art. 226]

Huawei Telecommunications (India) Co. Pvt. Ltd. v. Dy. DIT (Inv.) (No. 2) (2022) 448 ITR 115 (Delhi)(HC) Editorial: Refer Huawei Telecommunications (India) Co. Pvt. Ltd. v. Dy. CIT (Inv.) (No. 1) (2022) 448 ITR 111 (Delhi)(HC)