2010 (9) TMI 184 - HC - Income Tax

Reassessment - Partnership firm - deriving income from trading in oil and lubricants - Assessment was completed under Section 143(3) of the Act - and after some further proceedings, reassessment proceedings were initiated by giving the impugned notice - Held that - procedure laid down in the judgment of the Hon ble Supreme Court in GKN Driveshafts (India) Ltd. v. ITO & others 2003 259 ITR 19, before proceeding with the reassessment, decision on objections has to be taken - Without expressing any opinion on merits, direct respondent to take a decision on the objections of the petitioner - The petition is disposed of

Summary

The Punjab and Haryana High Court quashed a notice under Section 148 of the Income Tax Act, 1961, in a case involving a partnership firm trading in oil and lubricants. The petitioner's objections to the notice were not decided, leading to a direction for a decision within 15 days based on the Supreme Court's procedure in GKN Driveshafts (India) Ltd. v. ITO & others [2003] 259 ITR 19.