The ITAT quashed the reopening of assessment under section 147, ...

Notice Under Section 147 Quashed: AO's Vague Reasons and PCIT's Mechanical Approval Render Reopening Invalid

April 4, 2025

Case Laws Income Tax AT

The ITAT quashed the reopening of assessment under section 147, finding it invalid on two grounds. First, the reasons recorded by the AO were vague and incomplete, lacking essential transaction details and demonstrating merely borrowed satisfaction rather than independent verification. Second, the PCIT's approval was deemed mechanical and invalid as it contained only the notation "yes, it is fit case" without recording any substantive satisfaction based on the facts presented. The Tribunal determined that both the reopening of assessment and the subsequent assessment framed by the AO were legally unsustainable, and accordingly allowed the assessee's appeal.

View Source

← Previous Next →

The ITAT quashed the reopening of assessment under section 147, ...

Notice Under Section 147 Quashed: AO's Vague Reasons and PCIT's Mechanical Approval Render Reopening Invalid

April 4, 2025

Case Laws Income Tax AT

You may also like:

ITAT quashed the reopening of assessment under section 147 r.w.s. 148 of the Act due to fundamental procedural defects. The AO's reasons for reopening were deemed...

Validity of reopening of assessment - necessity to have a valid approval under section 151 - PCIT while according to approval for reopening the assessment has either not...

Validity of reopening/reassessment - The tribunal found that the reasons recorded by the AO for reopening the assessment were not sufficient and valid, as they merely...

Absence of reasons in approval order u/s 151 for reopening assessment u/s 148 renders it invalid. Mere appending of word "approved" without recording satisfaction after...

Validity of reopening of assessment - Approval of PCIT u/s 151 - The Tribunal acknowledged the Assessee's argument regarding the mechanical approval granted by the PCIT....

Reopening of assessment u/s 147 - recording of satisfaction in mechanical manner - PCIT also mechanically issued permission to reopen the assessment without going into...

Validity of reopening of the case u/s. 147 - Reasons to believe - addition as unexplained cash credit u/s. 68 against sale of shares / investments along with share...

The ITAT Delhi held that the reopening of assessment u/s 147 was invalid as the JCIT granted approval mechanically without proper application of mind. The JCIT's...

Assessment order passed u/s 153A - valid approval granted u/s 153D or not? - The Tribunal found that the approval granted under Section 153D was generic and lacked...

Reopening of assessment u/s 147 - valid approval u/s 151 - The approving authority-the PCIT, has stated that he agrees with the comments of the A.O., which were annexed...

Reopening of assessment u/s 147 - Addl. CIT who has given approval for such reopening has simply mentioned that “ yes, I am satisfied that this is a fit case for issue...

AO reopened assessment beyond 4 year period without establishing assessee failed to truly disclose material facts. ITAT quashed reopening, holding AO merely changed...

The case involves the validity of reopening of assessment u/s 147/148 based on reasons to believe, where the head of income was changed from business to income from...

The case involved a challenge to the validity of approval u/s 153D for assessment u/s 153A. The Appellate Tribunal found that the approval granted by the JCIT was...

Validity of the reassessment order u/s 147 - addition of bogus accommodation entry - AO has not even mentioned as to what was the nature of entry as given in the report...

Quick Updates: