Reopening Based on Wrong Facts or assumptions is Invalid: ITAT Mumbai

Laxman Gore Shreshtha Vs DCIT (ITAT Mumbai) The case of Laxman Gore Shreshtha vs DCIT, adjudicated by the Income Tax Appellate Tribunal (ITAT) Mumbai, revolves around the reopening of assessment under Section 147 of the Income Tax Act, 1961. The central issue concerns the validity of reassessment initiated based on incorrect factual premises. The controversy arose when the Assessing Officer (AO) reopened the assessment, alleging non-disclosure of material facts regarding interest income and the treatment of ULIP (Unit Linked Insurance Plan) policy maturity proceeds. The AO asserted that the UL...