Reopening is invalid when there is no direct nexus between material gathered & formation of belief of income escaping assessment

CA Saurabh Chokhra Reopening is invalid when there is no direct nexus between material gathered & formation of belief of income escaping assessment Brief of the case: The Hon’ble Karnataka HC in the above cited case held that there must be a direct nexus between the material coming to the notice of the Income-Tax Officer and the formation of his belief that income has escaped assessment.Therefore, when  a material gathered by the AO is such that conclusion regarding escapement  can be made only after further investigation then reopening basis such material is not permissible b...