Reopening order quashed as it was on the erroneous assumption that no return of income was filed – whereas the return was duly on record.
We represented a matter before the Hon’ble Delhi ITAT, where the reopening of assessment under Sections 147/148 was quashed in entirety.
The Assessing Officer had initiated reassessment on the erroneous assumption that no return of income was filed — whereas the return was duly on record.
The Hon’ble ITAT found merit in the arguments and held as uunder:
“The reasons recorded for reopening the assessment are the soul of proceedings u/s 147/148. They cannot be altered, amended or rectified later on. In the present case, the AO’s reasons to believe are based on wrong assumption of facts.”
The Tribunal held the assumption of jurisdiction unlawful, reaffirming that reassessment cannot rest on incorrect factual foundations.
The copy of the order is as under:
