9911796707
TMI Blog2021 (4) TMI 149X X X X Extracts X X X X X X X X Extracts X X X X ..... learned counsel for the assessee argued only ground No. 2 by stating that the issue involved in this appeal is duly covered in favour of the assessee by the order of the Income-tax Appellate Tribunal, Kolkata "C" Bench in the case of Sanju Jalan v. ITO in I. T. A. No. 634/ Kol/2017. Explaining the facts of the case, the learned counsel for the assessee submitted that the case of the assessee was reopened under section 148 of the Income-tax Act. However, the addition was not made on the income alleged to have been escaped and instead the addition was made on some other issue. In this respect the learned counsel for the assessee invited our attention to the copy of reasons recorded, placed at page No. 5 of the paper book and further took us t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax Act, necessary approval of the learned Principal Commissioner of Income-tax-1, Kanpur is required. In view of the above, the proposal is being sent to the learned Principal Commissioner of Income-tax-1, Kanpur for according sanction to issue notice under section 148 of the Income-tax Act in the case for the assessment year 2013-14. Sd/ (Dy. CIT-1, Kanpur) 5. The abovesaid reasons clearly show that the Assessing Officer had reasons to believe that the income of the assessee, to the tune of Rs. 5,04,000, which the assessee had used for purchasing a penny stock, had escaped assessment. From the assessment order, we find that the Assess- ing Officer had made addition on account of long-term capital gain holding the long-term capital gai ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ings under this section'. Explanation 3 to section 147 inserted by the Finance (No. 2) Act, 2009 with effect from April 1, 1989 provides that the Assessing Officer 'may assess or reassess the income in respect of any issue. . . notwithstanding the reasons for such issue have not been included in the reasons recorded . . . .' (ii) The words 'and also' indicate that reassessment must be with respect to the income for which the Assessing Officer has formed an opinion and also in respect of any other income which comes to his notice subsequently. However, if the Assessing Officer accepts the objection of the assessee and does not assess the income which was the basis of the notice, it is not open to him to assess the incom ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the case of Jet Airways (I.) Ltd. (supra) is squarely applicable. As we have already seen that the assessment was reopened for the reason that the jewellery purchased by the assessee was from undisclosed sources and the purchases were bogus. That addition has not been sustained now. The Assessing Officer however, proceeded to make an addition on account of long-term capital gain (LTCG) on sale of shares. This was clearly beyond the scope of the proceedings under section 148 of the Act. The Assessing Officer, therefore, could not have proceeded to make the impugned addition of bogus long-term capital gain. Similar view has been expressed by the hon'ble Delhi High Court in the case of Ranbaxy Laboratories Ltd. v. CIT [2011] 336 ITR 136 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
