Allowing the petition the Court held that the Tax evasion petitions received for AY. 2007 -08, 2008 09 cannot have formed basis for reopening of assessment for relevant year, as Assessing Officer had not referred to orders passed therein at time of recording reasons for reopening assessment for current year. Court also held that where Income-tax Officer had not been authorized to exercise his powers under S. 131(1A), reports submitted by him could not have formed valid basis for re-opening assessment. ( AY.2009 -10)
Sky View Consultants ( P) Ltd v. ITO ( 2017) 397 ITR 673/ 86 taxmann.com 87 ( 2018) 169 DTR 157/ 304 CTR 827 ( Delhi) (HC) Editorial: SLP of revenue is dismissed , ITO v. Sky view consultants. (2018) 257 Taxman 250 (SC)
S.147: Reassessment- Tax evasion petition- Recording of reasons- Bogus entries- Tax evasion petitions received for previous years cannot be basis for reopening of assessment for relevant year, as Assessing Officer had not referred in recording reasons for the year under consideration- Reports submitted by the Income tax Officer who is not authorised to exercise the power cannot be the basis for reopening of assessment [ S.69A, 131(IA), 148 ]