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2019 (1) TMI 395 - ITAT DELHIReopening of assessment - AO adopted the market value of the assets of EHIRC at ₹ 1,49,08,971/- and worked out the 80% value at ₹ 119,27,17,721/- - AO proposed replace book value of the assets of EHIRC with the market value of the assets of EHIRC - enhanced the value of the addition which was made in the original assessment proceeding - Held that:- On perusal of the facts of the case, we note that in the reassessment proceeding the Assessing Officer has simply enhanced the value of the addition which was made in the original assessment proceeding. We find that the addition made in the original assessment proceeding has been deleted by the Tribunal. Tribunal observed that the lower authorities did not hold the assessee as engaged in the business of holding investment and the purchase of the share by it at a price less than the book value was in the course of such business giving rise to income chargeable either under section 2(24)(vi) or section 28(iv) of the Act. Tribunal has held the amount of difference of book value of the shares and the actual amount paid as non-taxable. In such circumstances, the Assessing Officer is not justified in reopening the assessment and substituting the book value by way of market value of the shares based on valuation report. The Revenue if, aggrieved can prefer appeal against the order of the Tribunal, but cannot nullify the order of the Tribunal in this manner without challenging the order before the Hon’ble High Court. In our opinion, this reason itself is sufficient to hold the reassessment proceeding as invalid and, thus, we are not adjudicating the other grounds or the arguments of the parties challenging the validity of the reassessment proceeding. The ground of the appeal of the Revenue is accordingly dismissed.
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