9911796707
TMI Blog2011 (1) TMI 1033X X X X Extracts X X X X X X X X Extracts X X X X ..... it claimed deduction under section 80P(2) of the Act in respect of Rs. 4,47,57,348. Accordingly, the total income of the petitioner was Rs. 920. Subsequently, the return was taken up for scrutiny and by a detailed order dated December 20, 1993, assessment came to be framed determining the total income at Rs. 3 lakhs. Subsequently, vide the impugned notice dated March 21, 1997, the respondent has sought to reopen the assessment for the assessment year 1991-92, which has given rise to the present petition. 3. It is the case of the petitioner as averred in the petition that the impugned action is without jurisdiction, inasmuch as, the notice under sec-tion 148 has been issued beyond a period of four years from the end of the relevant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he petition, the respondent has filed an affidavit-in-reply annexing therewith a copy of the reasons for reopening the assessment. However, no averments have been made dealing with the contention raised by the petitioner that as the notice under section 148 of the Act has been issued beyond a period of four years from the end of the relevant assessment year, the reopening of the assessment is without jurisdiction as there is no failure on the part of the petitioner to disclose fully and truly all material facts. 5. Mr. S. N. Soparkar, learned senior advocate appearing on behalf of the petitioner submitted that in the light of the fact that the assessment is sought to be reopened beyond a period of four years from the end of the rele ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ich forms the basis for reopening of assessment by the Assessing Officer, has subsequently been overruled by a decision of the Supreme Court in the case of CIT v. Karnataka State Co-operative Apex Bank [2001] 251 ITR 194 (SC), wherein the court has held that the view taken by the Supreme Court in the case of Madhya Pradesh Co-operative Bank Ltd. [1996] 218 ITR 438 (SC), does not set down the correct law. It was accordingly urged that even on the merits, the reopening of assessment is not sustainable. 6. On the other hand, Mr. M. R. Bhatt, learned senior advocate, appearing on behalf of the respondent has placed reliance upon the affidavit-in-reply filed on behalf of the respondent to submit that no case has been made out so as to ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8 ITR 438 (SC). It is the aforesaid decision, which forms the basis for the belief that income has escaped assessment. In the affidavit-in-reply filed by the respondent also there is no averment to the effect that there is any failure on the part of the petitioner to disclose fully and truly all material facts necessary for its assessment. Thus, it is apparent that the basic requirement for assuming juris-diction under section 147 of the Act beyond a period of four years from the relevant assessment year is not satisfied as the belief as to escapement of income chargeable to tax from assessment, has not been entertained by the Assessing Officer on the ground that there has been failure on the part of the assessee to disclose fully and truly ..... X X X X Extracts X X X X X X X X Extracts X X X X
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