2024 (9) TMI 913

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... that it was a clear case of change of opinion. No substantial question of law arises. Appeal dismissed.
K. R. SHRIRAM AND DR. NEELA GOKHALE, JJ. For the Appellant: Mr. Suresh Kumar For the Respondent: Mr. J. D. Mistri, Senior Advocate a/w Mr. Madhur Agrwal & Mr. Fenil Bhatt i/b Mr. Atul K. Jawani PC:- 1. The following substantial questions of law are proposed : Whether on facts and circumstances of the case, Hon'ble ITAT was right in invoking proviso to Section 147 for quashing the order of the Assessing Officer even when the reassessment was carried within 4 years and there was no requirement in law for the Assessing Officer to establish failure on the part of Assessee of disclosing all material facts necessary for assessment. .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... come Tax Act, 1961 ("the Act"). The reason for reopening recorded is "while computing the total income, an amount of Rs. 1939.84 lakhs being special provision for interest was allowed. This amount represents shortfall in General Ledger balance, which is a provision of earlier years. Since Assessee is following merchantile system of accounting, the allowance for prior period has resulted in short levy of tax". The Assessing Officer ("AO") passed the fresh assessment order dated 17th November 2006 under Section 143(3) read with Section 147 of the Act and thereby computed the total income of Assessee at Rs. 30,14,05,720/-. 3. Assessee challenged the order by filing an appeal before the Commissioner of Income Tax (Appeals) ("CIT(A)"). The appe .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... determined and crystalized during the previous year has been claimed as allowable deduction." 5. Form No. 3CD filed by Assessee under Section 44AB of the Act, at Annexure-XV, mentions prior period income or expenditure of prior period credited or debited to the Profit and Loss Account amounting to Rs. 678,263,876/-, which is the amount, which was added in the annexure to statement of total income. In the Director's Report annexed to the annual returns, there is mention of provisions, contingencies and write offs - extra-ordinary items and it is disclosed that an amount of Rs. 17.01 crores was a shortfall in the General Ledger balance of Term Deposits and an amount of Rs. 2.39 crores was a shortfall in the General Ledger balance of Security .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X