Reassessment Proceedings Invalid Without New Tangible Material

V.K. Sasikala Vs DCIT (ITAT Chennai) Introduction: The Income Tax Appellate Tribunal (ITAT) Chennai, in a recent case between V.K. Sasikala and the Deputy Commissioner of Income Tax (DCIT), established that the Assessing Officer (AO) must have ‘tangible material’ to justify a reassessment. This ruling highlighted that a reassessment cannot be initiated solely based on the same set of materials available during the original assessment, essentially prohibiting a review exercise on the original order. Analysis: The case revolved around the validity of reassessment proceedings against ...