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TMI Blog2015 (5) TMI 262X X X X Extracts X X X X X X X X Extracts X X X X ..... a rea son to summon sub-section (10), without even remotely demonstrating the existence of any 'arrangement' between the assessee and its AEs aimed at producing extraordinary profits in the hands of the assessee. The conclusion drawn by the authorities below in such circumstances cannot be ex consequent sustained. Since the Tribunal, in that case had already deleted the additions in respect of the assessment years 1998-99 and 2001- 02, the very basis for continuing any further with the reassessment proceedings in respect of the relevant assessment year (1999-2000) did not survive any further. It was specifically noted in the said decision in Silver Oak Laboratories (2008 (12) TMI 40 - HIGH COURT DELHI ) that there was no specifi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ctions and the Assessing Officer passed an order rejecting the objections. In that order the Assessing Officer specifically noted that the fact that the assessee was claiming excessive deduction, as above, under section 10A surfaced for the first time during the assessment proceedings for the assessment year 2009-10 in the case of the petitioner itself. It was also noted that while going through the income- tax return details for the subject year it was observed that here also the petitioner-assessee had adopted the same mechanism and had thus claimed the excessive deduction under section 10A of the said Act. According to the Assessing Officer, these findings constituted the new tangible material on record which was the basis for the reason ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ustained. 4. The consequence of the above decision by the Tribunal is that the very basis for forming the purported reason to believe that the income had escaped assessment in respect of the assessment year in question does not survive any further. The learned counsel for the petitioner, therefore, contended that the proceedings pursuant to the impugned notice under section 148 ought to be quashed as also the order rejecting the objections needed to be set aside. He placed reliance on a decision of this court in Silver Oak Laboratories P. Ltd. v. Deputy CIT in W. P. (C.) 17719-20/2006 decided on December 18, 2008. The facts of that case were somewhat similar to the present case. In that case also, during the assessment proceedings of ot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ries (supra), quashed further proceedings in respect of the notice under section 148 and also set aside the order whereby the objections of the assessee had been rejected by the Assessing Officer. A similar order is sought by the learned counsel for the petitioner in the present case. 6. We find that there is one factor which is different from that case and, that is, that while in the previous case no appeal had been filed against the Tribunal's order, in the present case the Tribunal's order had been passed only on August 26, 2014, and there is still time for filing of the appeal on the part of the Revenue. In these circumstances, while the very basis for the issuance of the notice under section 148 no longer survives, we are of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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