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. 147 : Reassessment-With in four years and beyond four years-Audit objection-Depreciation-Assessing Officer rejecting audit objection-Existence of alternate remedy is not an absolute bar for issue of writ-Notice based on audit objection is held to be not valid. [S. 32, 148, Art. 226]

Mobis India Ltd. v. Dy. CIT (2023) 450 ITR 60 / 332 CTR 775/ 224 DTR 37 (Mad.)(HC) Editorial: Decision in Mobis India Ltd. v. Dy. CIT (2016) 380 ITR 170 (Mad)(HC), set aside.

S. 147 : Reassessment-With in four years-Change of opinion-capital gains-Expenditure incurred in terms of settlement to assessee’s sisters from sale consideration of property and indexation benefits and other legal expenses-No failure to disclose material facts-Order disposing objection and notice for reopening was quashed and set aside. [S. 45, 48, 148, Art. 226]

Deepak Kapoor v. PCIT (2023) 450 ITR 301 / 221 DTR 330 / 331 CTR 220(Delhi)(HC)

S. 147 : Reassessment-After the expiry of four years-Based on audit report-Change of opinion-No new material-Reassessment notice and order disposing the objection was quashed. [S. 148, Art. 226]

Kalinga Institute Of Industrial Technology v. ACIT (2023) 450 ITR 657 (Orissa)(HC)

S. 147 : Reassessment-After the expiry of four years-Land taxes-Leave encashment-Gratuity-Demerger-No failure to disclose material facts-Order disposing objection and notice of reassessment was quashed. [S. 43B, 148, Art. 226]

GET and D India Ltd. v. ACIT (2023) 450 ITR 87 (Mad.)(HC)

S. 147 : Reassessment-After the expiry of four years-No failure to disclose material facts-Change of opinion-Provision for customs duty, advance doubtful of recovery and provisions of non-moving inventory-Notice and order rejecting objections was quashed. [S. 115JB, 148, Art. 226]

Mangalore Refinery and Petrochemicals Ltd. v. Dy. CIT (2023) 450 ITR 82 (Bom.)(HC)

S. 147 : Reassessment-Rectification of mistake-Notice for reopening assessment not permissible during pendency of proceedings for rectification-Reassessment proceedings not sustainable-Order of High Court set aside. [S. 80HHC, 148, 154(7)]

S. M. Overseas Pvt. Ltd. v. CIT (2023) 450 ITR 1/ 291 Taxman 441 (SC) Editorial: Decision in CIT v. S. M. Overseas Pvt. Ltd. (2011) 355 ITR 281 (P& H)(HC) reversed.

S. 144B : Faceless Assessment-Principle of natural justice-Violation of statutory condition-Assessment order set aside-liberty to proceed in accordance with law granted after issuing show-cause notice-cum draft assessment order. [S. 143(3), 144B(1)(xvi)(b), Art. 226]

RMSI Pvt. Ltd. v. NFAC (2023) 450 ITR 293 / 290 Taxman 383 (Delhi)(HC)

S. 144B : Faceless Assessment-Natural justice-Failure to follow mandatory procedure-Alternative remedy-Writ can be entertained-The assessment order and the notice of demand was quashed and set aside-The matter was remanded to the Assessing Officer who shall issue a show-cause notice along with the draft assessment order granting an opportunity of personal hearing to the assessee as prescribed under section 144B. Matter remanded. [S. 143(3), 144, 144B(1)(xvi)(b), 147, 156, Art. 226]

Kottex Industries Pvt. Ltd. v. NFAC (2023) 450 ITR 685 (Guj.)(HC)

S. 144B : Faceless Assessment-Natural justice-Effect from 1-4-2021-Objection to draft assessment order must be considered-Order passed without considering objections is held to be not valid. [S. 144B(7), 144B(1)(xii), Art. 226]

Hiraben Pragibhai Tala v. ACIT (2023) 450 ITR 264 (Guj.)(HC)

S. 144B : Faceless Assessment-Search and seizure-Reopening based on information uploaded on insight portal-Replied the notices-Assessment order passes-Alternative remedy-Writ against the assessment order is held to be not maintainable. [S. 147, 148, 153C, Art. 226]

Gopal Tukaram Bitode v. ITO (2023) 450 ITR 546 (Bom.)(HC) Shipaddevi Sunil Kumar Kediya v. ITO (2023) 450 ITR 546 (Bom.)(HC) Prakash Madharao Dani v. ITO (2023) 450 ITR 546 (Bom.)(HC)