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TMI Blog2017 (7) TMI 215X X X X Extracts X X X X X X X X Extracts X X X X ..... fails, the AO still can proceed to assess some other income which according to him had escaped assessment and which came to his light during the course of the assessment. For assuming jurisdiction to frame an assessment under Section 147 what is essential is a valid reopening of a previously closed assessment. If the very foundation of the reopening is knocked out, any further proceeding in respect to such assessment naturally would not survive. - TAX APPEAL NO. 439 of 2017 - - - Dated:- 5-7-2017 - MR. AKIL KURESHI, MR. BIREN VAISHNAV, JJ. For The Appellant : Mr Km Parikh, Advocate ORAL ORDER ( PER : HONOURABLE MR.JUSTICE AKIL KURESHI) 1. The Revenue is in appeal against the judgment of the Income Tax Appellate Tri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t in case of Ranbaxy Laboratories Ltd. v. Commissioner of Incometax reported in (2011) 336 ITR (Delhi), accepted the assessee's contention. Against such judgment of the Tribunal, the Revenue is in appeal. 3. Counsel for the Revenue submitted that against the judgment of Ranbaxy Laboratories Ltd. (supra), the Revenue has filed SLP before the Supreme Court and the same is pending. However, we notice that identical issue came up for consideration before this Court also in case of Commissioner of Incometax v. Mohmed Juned Dadani reported in (2013) 355 ITR 172 (Guj). The Division Bench of this Court in the said decision held as under : 28. Explanation 3 to Section 147 of the Act thus does not in any manner, even purport to ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ht with which any person under a statute has been clothed or set at naught the working of an Act by becoming an hindrance in the interpretation of the same. 29. Above decision has been referred to and relied upon in several subsequent decisions. Above proposition being well settled, it is not necessary to refer to all such decisions. 30. We may also approach the question from a slightly different angle. It is not in dispute that once an assessment is reopened by a valid exercise of jurisdiction under Section 147 of the Act, it is open for the Assessing Officer to assess or reassess any income which had escaped assessment which comes to his light during the course of his assessment proceedings which was not mentioned in the reaso ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t requirement of failure on part of the assessee to disclose truly and fully all material facts would be totally circumvented. 31. As already noted, except for the Punjab and Haryana High Court in case of Majinder Singh Kang Vs. Commissioner of IncomeTax and anr (supra) all courts have uniformly taken a view that Explanation 3 to Section 147 of the Act does not change the situation insofar as the present controversy is concerned. Leading decision of Bombay High Court in case of CIT. vs. Jet Airways (I) Ltd. has been followed by different High Courts. In case of CIT. vs. Jet Airways (I) Ltd.,the High Court, in its elaborate decision considering the statutory provisions, different judicial pronouncements and the explanatory memorandum f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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