Calcutta HC: Award May Be Set Aside if Tribunal Rewrites Contract or Ignores Key Clauses  ||  Delhi HC Suspends Kuldeep Singh Sengar’s Life Term, Holding Section 5(C) of POCSO Not Made Out  ||  Calcutta High Court: Arbitration Clause in an Expired Lease Cannot be Invoked For a Fresh Lease  ||  Delhi High Court: 120-Day Timeline under Section 132B Of Income Tax Act is Not Mandatory  ||  NCLAT Reaffirms That Borrower's Debt Acknowledgment Also Extends Limitation Period for Guarantors  ||  NCLAT: Oppression & Mismanagement Petition Cannot Be Filed Without Company Membership on Filing Date  ||  Supreme Court Quashes Rajasthan Village Renaming, Says Government Must Follow its Own Policy  ||  NCLAT: NCLT Can Order Forensic Audit on its Own, No Separate Application Required  ||  NCLAT Reiterates That IBC Cannot be Invoked as a Recovery Tool for Contractual Disputes  ||  Delhi HC: DRI or Central Revenues Control Lab Presence in Delhi Alone Does Not Confer Jurisdiction    

Oriental Insurance Company v. Commissioner of Income Tax - (High Court of Delhi) (15 Sep 2015)

Assessing Officer cannot reopen assessment on erroneous assumptions

MANU/DE/2677/2015

Direct Taxation

To reopen a concluded income tax assessment for escaped income, a reason to suspect cannot be a reason to believe, which must be rational and bear a direct nexus to the material on which such a belief is based. The Court held that an Assessing Officer does not have jurisdiction to reopen an assessment for ‘believed’ escaped income, if such a belief is not based on tangible material or information. It noted, the Officer had reopened the assessment for escaped income on grounds other than those which suggested escaped income.

Relevant : Section 147 Income Tax Act, 1961 Act Commissioner of Income-Tax v. Kelvinator of India Ltd.: MANU/SC/0047/2010 Prabhu Dayal Rangwala v. Commissioner of Income-Tax: MANU/DE/0696/2015

Tags : TAX   ASSESSMENT   ESCAPED INCOME   BELIEF  

Share :        

Disclaimer | Copyright 2025 - All Rights Reserved