Ms. Megha Garg Vs The DCWT (ITAT Delhi)
The assessee filed the return of wealth tax and made a request to the A.O. to supply copy of the reasons recorded for reopening of the assessment under section 17 of the Wealth Tax Act vide letter dated 19th February, 2014, copy of which is filed at page-20 of the paper book. Similarly, assessee in the written submissions before the Ld. CIT(A) raised the same point that copy of the reasons for reopening of the assessment under Wealth Tax have not been supplied to the assessee within the period of limitation. Therefore, the issue is covered by judgment of Hon’ble Delhi High Court in the case of Haryana Acrylic Manufacturing Co. vs. CIT (supra) and order of ITAT, Delhi Bench in the case of Shri Balwant Rai Wadhwa vs. ITO (supra). The Ld. CWT(A) instead of considering the issue in proper perspective did not decide the issue in accordance with law and merely confirmed the reopening of the assessment. The submissions of the assessee made before the A.O. and Ld. CWT(A) have not been rebutted by the department through any evidence or material on record. It, therefore, stands proved that the copy of the reasons for reopening of the assessment under Wealth Tax Act have not been supplied to the assessee within time. Therefore, the re-assessment is liable to be quashed. We may also note here that on the same reasoning of giving jewellery of Rs.55 lakhs by Shri Subhash Chander Goel to the assessee remained subject matter in appeal before ITAT, Chandigarh Bench and the Tribunal vide order dated 18.11.2015 quashed the reopening of the assessment as well as deleted the additions on merit. In view of the above discussion, we are of the view that reopening of the assessment is bad in law and liable to be quashed.
