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TMI Blog2011 (7) TMI 54X X X X Extracts X X X X X X X X Extracts X X X X ..... uit in the High Court being Suit No.2863 of 2010, which was ultimately settled on 2nd May 2011, wherein the consideration was enhanced from Rs.4 crores to Rs.7.5 crores - As per the consent terms filed on 2nd May 2011, the amount of Rs.7.5 crores are to be paid in installments upto 31st December 2011 - It is also on record that the commencement certificate in the present case was issued on 29th De ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... earing. 2. This Writ Petition is filed to challenge the notice dated 25th March 2010 issued under Section 148 of the Income Tax Act, 1961 and also the order dated 2nd December 2010 whereby the objections raised by the petitioner against reopening of the assessment has been rejected. 3. The assessment year involved herein is assessment year 20052006. 4. By the impugned notice dated 25th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2005 i.e. for A.Y. 200506. In view of this, during the relevant year, the assessee should have offered the Capital Gain as there is transfer of rights of above referred property i.e. Bagla Property. As the property was given for development during the year and in view of development agreement, capital gain arisen, ought to have been offered for taxation in the year under consideration i.e. A.Y ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3.25 crores was payable in 13 installments after 75 days from the receipt of the Commencement Certificate by the Developer in respect of the plinth of the first building to the constructed on the said property. 7. As the developer failed to pay the amount of Rs.30 lakhs on or before 31st October 2004, the petitioner on 28th March 2005 terminated the Development Agreement dated 17th September 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tances, in our opinion, it cannot be said that there was any reason to believe that income chargeable to tax has escaped assessment in assessment year 200506 so as to initiate reassessment proceedings under Section 147 read with Section 148 of the Act. So long as the consent terms filed on 2nd May 2011 hold the field, the question of bringing to tax the capital gains under the Development Agreemen ..... X X X X Extracts X X X X X X X X Extracts X X X X
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