COMMISSIONER OF INCOME TAX Vs. BATRA BHATTA COMPANY

JUDGEMENT

(1.) THIS appeal has been filed by the revenue in respect of the assessment year 1996-97 against the decision of the tribunal in ITA 1186/del/2003 dated 23. 02. 2007.

(2.) THE facts are few. The as gessee had sold agricultural land at Rs. 57,37,500/- in March, 1996 and in its return had claimed exemption under the provisions of Section 2 (14) of the Income-tax Act, 1961 (hereinafter referred to as 'the said Act' ). The assessee's claim was that the agricultural land sold by it was not a capital asset. Consequently, no capital gains accrued at the hands of the assessee and he was not required to pay any tax thereon.

(3.) ALTHOUGH, it appears that an intimation under Section 143 (l) (a) had been sent, the appellant's case throughout has been that it did not receive any such intimation. In any event, nothing turns upon this. The main issue involved in this appeal is with regard to invocation of the provisions of section 147 of the said Act. The Assessing Officer had issued a notice under section 148 of the said Act for re-assessment on 30. 03. 2000. The reasons recorded for issuing such a notice and for invoking the provisions of Section 147 of the said Act were disclosed as under:-