MUNIR ISMAIL VORAJI Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) As common question of law and fact arise in both these petitions, but with respect to different assesses, both these writ petitions are heard, decided and disposed of together by this common judgment and order.

(2.) By way of this petition under Article 226 of the Constitution of India, being Special Civil Application No. 20021 of 2016, the petitioner-assessee has prayed for issuance of appropriate writ and/or order to quash and set aside the impugned notice under Section 148 of the Income-tax Act, 1961 [Annexure "F"] by which the Assessing Officer has sought to reopen the assessment for Assessment Year 2011-2012. The petitioner has also prayed to quash and and set aside the impugned order disposing of the objections raised against reopening of the assessment.

(3.) The Petitioner-assessee filed return of income for Assessment Year 2011-2012 on 21st June, 2011. That, the assessee showed the Long Term Capital Gain of Rs. 2,19,551/- in regard to his share in the land, bearing Block no. 140 sold on 18th December, 2012 for consideration of Rs. 51,38,740/- by deducting therefrom, the indexed cost of that share at Rs. 49,19,189/- on the basis of 1st April, 1981 valuation cost of Rs. 6,91,869/- indexed by multiplying the same by the index of 711. That, at the time of original assessment, the assessee relied upon valuation made by the Government approved valuer, in support of his claim of fair market value as on 1st April, 1981 at Rs. 400/- per sqm. That, thereafter, the original return of income filed by the assessee came to be accepted by the Income-tax Department, accepting the fair market value of the land at Rs. 400/- per sqm. 3.1 That thereafter, the petitioner was served with a notice under Section 148 of the Act on 16th October, 2014 alleging that the income chargeable to tax has escaped the assessment, asking the petitioner to file the return. That, at the request of the assessee, the Assessing Officer asked for the reasons recorded from Income-tax Officer, Ward-2 (3), Surat as in the meantime, the jurisdiction was transferred from I.T.O Ward-9 (3) Surat to ITO Ward-2 (3), Surat. That, the said Assessing Officer supplied the reasons recorded to reopen the assessment for A.Y.2011-12, which reads as under :-