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TMI Blog2023 (8) TMI 571X X X X Extracts X X X X X X X X Extracts X X X X ..... r dated 08.04.2019 (Annexure-B) disposing of the petitioner's objections to the reasons furnished to justify reopening assessment. 2. The petitioner has filed its returns for the assessment year 2013-2014 and has paid Minimum Alternative Tax (MAT) under Section 115JB of the I.T. Act. This is after appropriate assessment order under Section 143(3) of the I.T. Act on 29.12.2016. With the issuance of the notice dated 05.02.2019 (Annexure-A), the petitioner has requested for reasons for reopening the assessment on 15.02.2019 and in response thereto, the respondent has furnished reasons on 19.02.2019 (Annexure-G). The petitioner's objections dated 18.03.2019 (Annexure- H) to the reasons offered to justify reopening of assessment, is disposed of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the I.T. Act, has not declared capital gains for this transfer. 5. The petitioner's principal objections to the reasons assigned are two fold. Firstly, there is no deliberate failure to truly and fully disclose the transaction with M/s. SSS Realty and Co., and because the assessment is proposed to be opened after a lapse of four [4] years from the end of March 2014, there cannot be a proposal for reassessment unless there is a specific allegation of deliberate failure to fully and truly disclose material facts. Secondly, the reassessment is because of the "change in opinion". 6. Sri. S.Annamalai, the learned counsel for the petitioner, submits that this Court must intervene with the impugned order because there is no specific allegation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... asons dated 19.02.2019. This paragraph reads as under: "5. The above narrated discrepancies were detected during the course of scrutiny proceedings for AY 2016-17 and also during the survey proceedings u/s 133A carried out at assessee premises on 06.12.2018. With respect to AY 2013-14, the Assessing Officer has failed to examine the crucial aspect of taxation of Capital Gains on transfer and also the applicability of MAT provisions as per 115JB. The finding in the assessment of a subsequent year enforces correction in the preceding year when the issues are found identical." 9. It is indeed trite that if the assessment is to be reopened after four [4] years as contemplated under the first proviso to Section 147 of the I.T. Act [as it stoo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... allegation, and hence the petitioner cannot succeed on the ground that there is no allegation. As such, the petitioner is not granted any indulgence on the first ground. 11. It is seen from the records, as enclosed to this writ petition, that the petitioner's transaction for the subject land with M/s. SSS Realty and Co. is declared in the returns filed and it would be useful to refer to the different notes where there is a reference not just to the Revaluation Reserve as mentioned consequent to the transaction, but the transaction itself. The details are as follows: Note-2: Mentions a revaluation reserve of a sum of Rs. 21,49,44,377/-. Note-10: Mentions the amount that is transferred as consideration for the transfer of the subject la ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - 1 to its submission dated 28.12.2016 (Annexure-L). It is stated in this note that the petitioner has revalued the property at Rs. 21,57,75,680/- on the basis of fair market value as certified by an independent valuer and the difference between the book value and the book value on the date of the revaluation Rs. 21,49,44,337/-, is shown as Revaluation Reserve. A copy of the valuation report is also furnished. 14. The Assessing Officer, in the light of these disclosures, while framing the assessment order dated 29.12.2016 under Section 143(3) of the I.T. Act has made certain addition for the purposes of Section 115JB of the Act but without any other addition because of the subject transactions. In these circumstances, the question insofar ..... X X X X Extracts X X X X X X X X Extracts X X X X
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