Reopening Unjustified: No Link Between Available Material & Belief of Escaped Income

CIT Vs Spirit Global Construction Pvt. Ltd. (Delhi High Court) Delhi High Court held that the reasons disclosed for re-opening do not allude to the material that was available to the AO which persuaded him to form a belief that income had escaped assessment. Hence, prerequisite before entering the realm of reassessment/assessment proceedings not met. Accordingly, addition not sustainable. Facts- Spirit Global Construction Pvt Ltd (SGCPL) had filed its Return Of Income [“ROI”] declaring total income as Rs.1,04,98,240/-. On 04.06.2011, the said ROI was processed u/s. 143(1) of the Income Tax...