SUDHIR GENSETS LTD. Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) THE petitioner is engaged in the business of manufacture and sale of industrial generators and allied products. By the present writ petition, the petitioner impugns reassessment proceedings initiated under section 147/148 of the Income -tax Act, 1961 (Act, for short), vide notice dated 31 -3 -2010 for the assessment year 2003 -04 and the order dated 1 -11 -2010, passed by the Assessing Officer rejecting its objections against the initiation of the reassessment proceedings. The petitioner's case is predicted on two grounds (i) change of opinion; and (ii) that the petitioner had made full and true disclosure of material facts. Therefore, the reassessment proceedings that have been initiated after four years suffer from lack of 'inherent' jurisdiction.

(2.) THE reasons recorded by the Assessing Officer for reopening, as communicated to the petitioner vide letter dated 2 -8 -2010, read as under: -

(3.) THE petitioner's case was selected for scrutiny and assessment order under section 143(3) of the Act dated 20 -3 -2006 was passed. Deduction claimed by the petitioner under section 80IB of the Act was examined and dealt with. The assessment order specifically notes that the deduction claimed under the said section was in respect of two units and the amount claimed. It records: -