Case Law Details
Shri Dilpreet Singh Vs ITO (ITAT Chandigarh)
Section 148 Conclusive proof as to escapement of income at notice stage not required
At the stage of issue of notice under section 148 of Income Tax Act, 1961, the only question to be seen is whether there was relevant material, on the basis of which a reasonable person could have formed requisite belief. Whether material would conclusively prove escapement of income is not the concern at the stage of issuance of notice under section 148. It was so because formation of belief is within realm of subjective satisfaction of AO, therefore, notice issued under section 148 was sustained.
Tax administration is not expected to collect taxes based on the ignorances of the assessee
I am of the view that the rash attitude of adopting the dangerous policy and philosophy of “us against them” in a free nation is to be strongly repelled and crushed. The ignorance and helplessness of the masses who are required to address the values of their inherited property, sales etc. of agricultural lands etc. before the tax authorities glaringly stand out as every day examples of some failure and malaise. The tax administration is not expected to collect taxes based on the ignorances of the assessee but is expected to ensure that in the discharge of their duties and responsibilities, the citizens on behalf of whom the tax administration functions are advised, counseled and guided towards tax compliances.
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