MULTISCREEN MEDIA (P) LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) Rule, by consent made returnable forthwith. Counsel for the respondents waives service. With the consent of counsel, both the petitions are taken up for final hearing.

(2.) Both the petitions under Article 226 of the Constitution seek to question the validity of a notice issued by the Assistant Commissioner of Income Tax, Range 11(1., Mumbai, under Section 148 of the Income Tax Act, 1961 by which an assessment which was carried out under Section 143(3. was sought to be reopened beyond a period of four years from the expiry of the relevant assessment year.

(3.) The petitioner derives a major source of its income from its business of providing audiovisual television Software ('content'., films, events and other like activities, from subscription income received from distribution of channels, advertisements, sales and agency fees from marketing of airtime. As a content provider, the petitioner develops the content in-house or gets it developed from other software production houses under its supervision and control. Amongst the activities of the petitioner, is the distribution of various television channels for which the petitioner receives subscription income. The petitioner also claims to carry on the business of the sale of airtime inter alia for AXN channel. The petitioner also claims to act as an agent for canvassing the sale of airtime for other channels for which it receives agency fees.