Assessee, an Australian company, transferred its shares in an Indian company to its UK subsidiary. Assessing Officer issued a notice under section 148A(1) on the ground that information from the risk management strategy showed that assessee was involved in a financial transaction and, in the absence of a return filed by assessee, the taxability of said transaction remained unexplained. Pursuant to said notice, assessee submitted a computation that it had incurred a long-term capital loss and made a short-term capital gain from said share transfer. Assessing Officer passed an order under section 148A(3) rejecting computation and issued a reopening notice on the ground that, in the absence of relevant documents, the transaction required examination in detail. On writ, the Court held that since the assessee was willing to submit the share purchase agreement, TRC, full bank statements and full reconciliation of foreign exchange and cost to the Assessing Officer, the order and notice were set aside and the matter was to be remanded back to the Assessing Officer for a fresh consideration.\u00a0 (AY. 2020-21)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 148A: Reassessment-Conducting inquiry, providing opportunity before issue of notice-Transfer of shares-Agreed to provide the share purchase agreement, TRC, full bank statements and full reconciliation of foreign exchange and cost to the Assessing Officer-The order and notice were set aside and the matter was to be remanded back to the Assessing Officer for a fresh consideration.[S. 148, 148A(b), 148A(d), Art. 226] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[21],"tags":[],"class_list":["post-60737","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-fND","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/60737","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=60737"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/60737\/revisions"}],"predecessor-version":[{"id":60738,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/60737\/revisions\/60738"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=60737"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=60737"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=60737"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}