Wednesday, October 19, 2011

Reassessment


Change of opinion — The reopening of assessment by AO is invalid where AO had examined the question whether the loss in F and O transactions could be set off against the short-term capital gains by raising a specific query and it was only on being satisfied by the assessee’s reply that it could be set off, that in the assessment order passed under s 143(3) the AO accepted the assessee’s claim — as held by MumTrib in Chandrashekhar Karundia (HUF) v ITO — In favour of: The assessee.

The reasons recorded by the AO should have nexus or live link with the belief formed by him for reopening assessment.

Decided on: 16 September 2011.

No comments:

Post a Comment

Printfriendly