No Independent Inquiry, No Reopening: ITAT Strikes Down Section 147 Action

DCIT Vs Indrani Patnaik (ITAT Cuttack) Reopening based solely on MB Shah Commission report fails; penalty u/s 271(1)(c) also collapses — ITAT Cuttack Cuttack Tribunal dismissed Revenue appeals & upheld order of CIT(A) quashing reassessment u/s 147/148 & consequential penalties u/s 271(1)(c). Tribunal held that reopening was initiated solely on basis of Justice M.B. Shah Commission report on alleged illegal mining, without any independent application of mind or tangible material, despite SC having already cast serious doubts on evidentiary value of said report. Tribunal further noted ...