9911796707
TMI Blog2014 (2) TMI 121X X X X Extracts X X X X X X X X Extracts X X X X ..... year - there is not even a whisper to the effect that income has escaped assessment on account of any failure on the part of the petitioner to disclose fully and truly all material facts necessary for its assessment. There is no allegation of any such failure on the part of the petitioner - the requirement of the proviso to section 147 are not satisfied - in absence of any satisfaction having been recorded by the Assessing Officer that the income has escaped by reason of the failure on the part of the petitioner to disclose fully and truly all material facts necessary for its assessment for the Assessment Year under consideration, assumption of jurisdiction under section 147 of the Act is failure – thus, the notice under section 147 of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ious heads to the income of the Company and allowed broad forwarded business losses for AY 1997-98, AY 1998-99 and AY 99-00 (total Rs.87,88,73,850) as well as other assessment years to be set off and accepted the total income of the company at Rs.Nil. That thereafter, the respondent issued notice under section 148 of the Act on 27/4/2011 reopening the assessment for the AY 2005-06. Thus, the reassessment proceeding has been initiated after a period of four years from the order of assessment. That thereafter the petitioner addressed a letter dtd. 5/5/2011 requesting the respondent to supply copy of the reasons recorded and treat the return of the income filed under section 139 as return of the income in compliance of the impugned notice. Tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cts necessary for his assessment for that assessment year. It is submitted that in the present case there is nothing in the reasons recorded for reopening the assessment which may indicate that there was any failure on the part of the petitioner disposing fully and truly all material facts necessary for assessment for the assessment under consideration. It is submitted that neither in the impugned notice dtd. 27/4/2011 (Annexure-A) nor in the reasons recorded while initiating the reassessment proceedings, nor even while disposing of the objections raised by the petitioner assessee, it is the case on behalf of the respondent that there was any failure on the part of the petitioner to disclose fully and truly all material facts, necessary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... einabove, as we are of the opinion that the conditions for reassessment as provided under section 148 of the Act are not satisfied, we do not propose to further enter into the issue on merits. 3.06. Mr. Soparka, learned advocate appearing on behalf of the petitioner has heavily relied upon the decision of the Division Bench of this Court in the case of Kanak Fabrics Vs. Income Tax Officer in Special Civil Application No. 335 of 2001 as well as recent decision of this Bench dtd. 24/6/2013 in the case of Gujarat Lease Financing Limited Versus Deputy Commissioner of Income Tax, Circle-4, Ahmedabad, in Special Civil Application No. 3048 of 2013, in support of his above submission and in support of his prayer to allow the present Special Civil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n be taken under section 147, unless income chargeable to tax has escaped assessment by reason of the failure on the part of the assessee to disclose fully and truly all material facts necessary for his assessment, for the assessment year. The learned counsel appearing on behalf of the respondent department is not in a position to dispute the above. Even otherwise, the proviso to section 147 of the Act is very clear. 6.01. Considering the facts of the present case, in light of the aforesaid legal position, a perusal of the reasons recorded shows that there is not even a whisper to the effect that income has escaped assessment on account of any failure on the part of the petitioner to disclose fully and truly all material facts necessary f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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