SUSHILA KANWAR CHAUHAN Vs. UNION OF INDIA

JUDGEMENT

(1.) THESE two writ petitions have been filed by the petitioner-assessee challenging the reassessment proceedings under S. 147/148 of the IT Act, 1961 (for short, hereinafter referred to as 'Act of 1961') for the asst. yr. 2006-07.

(2.) THE matter arises on account of difference in the cost of construction of a hotel building by the assessee during this assessment year in which the assessee disclosed the cost of construction at Rs. 38,92,848 whereas upon reference to the Departmental Valuation Officer, Ajmer (DVO) in accordance with provision of S. 142A of the Act of 1961 inserted by Finance Act No. 2 of 2004 with retrospective effect from 15th Nov., 1972, the said DVO on 22nd Dec., 2009 estimated the cost of construction of the hotel building at Rs. 1,17,92,000. Thus, to assess the difference amount of Rs. 78,99,152 vide Annex. 6 (Rs. 1,17,92,000 - Rs. 38,92,848) as undisclosed income under S. 69B of the Act of 1961, the assessing authority initiated the impugned reassessment proceedings.

(3.) THE assessee instead of filing his reply on merits or raising his objections against the assessment under s. 69B of the Act, filed the present writ petition (S.B. Civil Writ Petn. No. 11092 of 2010) on 26th Nov., 2010, on which show-cause notices were issued to the respondents on 29th Nov., 2010 itself.