Reopening Quashed: ITAT Slams Casual 148A Action Where ₹50L Threshold Not Met

Nikhil Chandran Vs ITO (ITAT Bangalore) The Bangalore ITAT quashed the reassessment proceedings against an NRI assessee, holding that the extended limitation under Section 149(1)(b) cannot be invoked unless income escaping assessment exceeds ₹50 lakh. The case was reopened based on property purchase of ₹57 lakh. However, the assessee had clearly explained that the investment was largely funded through a housing loan (₹42.75 lakh) and the balance from taxed savings. The Tribunal observed that even if the explanation for the balance amount was doubted, the possible unexplained portion was ...