Tuesday, 2 December 2014

Claim for deduction under section 80-IB(10)

IT: Where Assessing Officer allowed assessee's claim for deduction under section 80-IB(10) after making detailed enquiries, he could not initiate reassessment proceedings taking a view that said claim was wrongly allowed
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[2014] 51 taxmann.com 375 (SC)
SUPREME COURT OF INDIA
Assistant, Commissioner of Income-tax
v.
Sarla Raj Kumar Varma*
MADAN B. LOKUR AND C. NAGAPPAN, JJ.
SCA NO. 125 OF 2014†
OCTOBER  8, 2014
Section 80-IB, read with section 147, of the Income-tax Act, 1961 - Deductions - Profits and gains from industrial undertakings other than infrastructure undertakings (Housing project) - Assessment year 2009-10 - Reassessment proceedings were initiated against assessee taking a view that assessee's claim for deduction under section 80-IB(10) was wrongly allowed - High Court held that since Assessing Officer allowed assessee's claim for deduction under section 80-IB(10) after making detailed enquiries, he could not initiate reassessment proceedings on basis of same material - Whether special leave petition filed against impugned order was to be dismissed - Held, yes [In favour of assessee]

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