2007 (8) TMI 325

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... in holding that the notice issued u/s 148 for reopening the assessment already completed does not amount to change of opinion as claimed by the assessee
M. M. KUMAR and AJAY KUMAR MITTAL JJ. M. R. Sharma for the appellant. JUDGMENT The judgment of the court was delivered by Ajay Kumar Mittal J.- In this appeal by the assessee under section 260A of the Income-tax Act, 1961 (for short "the Act"), the order dated December 12, 2005, of the Income-tax Appellate Tribunal, Chandigarh Bench-A, Chandigarh (hereinafter referred to as "the Tribunal"), passed in ITA No. 154/Chandi./2003 relating to the assessment year 1994-95 has been challenged. The assessee has claimed that the following substantial questions of law arise for consideration of .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... December 28, 1995. The Assessing Officer in paragraph 3 of the assessment order recorded as under : " The claim of the assessee under section 80-I of the Income-tax Act has been made for the first time this year since this is the sixth year of the assessee after commencing production and prior to this there has been no income." 4. The assessment was made for the assessment year 1995-96 and claim under section 80-I of the Act was disallowed and the Assessing Officer issued notice under section 148 of the Act to the assessee for the assessment year 1994-95, in response to which the assessee filed return declaring income at Rs. 37,69,485 on March 5, 1999. The Assessing Officer made the assessment under section 143(3) read with section 147 o .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 147 of the Act defines the power and jurisdiction of the Assessing Officer for making an assessment or reassessment of escaped income. Section 148 of the Act, on the other hand, provides for initiation of the reassessment proceedings with issuance of a notice on the assessee concerned. Section 147 empowers the Assessing Officer to assess or reassess income chargeable to tax if he has reasons to believe that the income for any assessment year has escaped assessment. The power conferred under this section is very wide, but at the same time it cannot be stated to be a plenary power. The Assessing Officer can assume jurisdiction under the said provision provided there is sufficient material before him. He cannot act on the basis of mere whim an .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X