Assessment reopened u/s 148 of the Income Tax Act due to not filing of ITR

Last updated: 06 July 2021

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Quick Summary

This case involves an appeal concerning an income tax assessment reopened under Section 148 of the Income Tax Act. The Assessing Officer initially believed the assessee had not filed their Income Tax Return (ITR). However, the assessee's counsel argued that an ITR had indeed been filed, and the assessment was mistakenly reopened. Both parties agreed to a remand, and the order was set aside for a fresh assessment by the Assessing Officer.

Court :
ITAT Hyderabad

Brief :
This is assessee’s appeal for the A.Y 2011-12 against the order of the CIT (A)-6, Hyderabad, dated 28.5.2020.

Citation :
ITA No.506/Hyd/2020

IN THE INCOME TAX APPELLATE TRIBUNAL
Hyderabad SMC Bench, Hyderabad
(Through Video Conferencing)

Before Smt. P. Madhavi Devi, Judicial Member

ITA No.506/Hyd/2020
Assessment Year: 2011-12

Sri Surender Reddy
Busireddy, Hyderabad
PAN:ADAPB6133E
(Appellant)

Vs.

Income Tax Officer
Ward 14(2)
Hyderabad
(Respondent)

Assessee by: Sri Mohd. Afzal, Advocate
Revenue by: Sri M. Mahidhar, DR

Date of hearing: 21/06/2021
Date of pronouncement: 21/06/2021

ORDER

This is assessee’s appeal for the A.Y 2011-12 against the order of the CIT (A)-6, Hyderabad, dated 28.5.2020.

2. At the outset it is seen that the appeal of the assessee has been decided ex-parte the assessee. Further, the assessment has been reopened u/s 148 of the Act by observing that the assessee has not filed his return of income.

3. The learned Counsel for the assessee submitted that the assessee had filed his return of income and there is mistake in the observation of the Assessing Officer that the assessee has not filed his return of income. He submitted that the assessment may be remanded to the file of the Assessing Officer for denovo consideration.

4. The learned DR also agreed for a remand of the assessment to the file of the Assessing Officer. Therefore, taking the submissions of the assessee into consideration, I deem it fit and proper to set aside the order of the CIT (A) and remand the issue to the file of the Assessing Officer for denovo consideration in accordance with law. Needless to mention that the assessee shall be given a fair opportunity of hearing and the assessee shall also cooperate with the Assessing Officer for early completion of the assessment of his income for the relevant A.Y.

5. In the result, assessee’s appeal is treated as allowed for statistical purposes.

Order pronounced in the Open Court on 21st June, 2021.

Sd/-
(P. MADHAVI DEVI)
JUDICIAL MEMBER

Hyderabad, dated 21st June, 2021.
Vinodan/sps

Copy to:
S.No Addresses
1 Sri Surender Reddy Busireddy, C/o Mohd. Afzal, Advocate, No.402, Sherson’s Residency, 11-5-465, Criminal Court Road, Red Hills, Hyderabad 500004
2 Income Tax Officer Ward 14(2) IT Towers, AC Guards, Hyderabad
3 CIT (A)-6, Hyderabad
4 Pr. CIT -6, Hyderabad
5 DR, ITAT Hyderabad Benches
6 Guard File

By Order

FAQ :

Yes, an assessment can be reopened under Section 148 of the Income Tax Act if the Assessing Officer believes the assessee has not filed their return of income.

The appeal was about an assessment reopened because the Assessing Officer thought the assessee hadn't filed an ITR. The assessee claimed they had filed it, and the case was sent back to the Assessing Officer for a new review.

The order of the CIT (A) was set aside, and the case was remanded to the Assessing Officer for a fresh assessment. The appeal was allowed for statistical purposes.

Remand means the case is sent back to the original authority (the Assessing Officer in this instance) to be considered again, often with new instructions or for further investigation.