The Director Of Income Tax (International Taxation v. Thoresen Chartering Singapore (Pte) Ltd

IN THE HIGH COURT OF JUDICATURE AT BOMBAY O. O. C. J. INCOME TAX APPEAL NO.2630 OF 2009WITH INCOME TAX APPEAL NO.2631 OF 2009WITHINCOME TAX APPEAL NO.2632 OF 2009WITH INCOME TAX APPEAL NO.2633 OF 2009 The Director of Income Tax(International Taxation)..Appellant. Vs.Thoresen Chartering Singapore(PTE) Ltd...Respondent. .... Mr. Suresh Kumar for the Appellant.Mr. P.J. Pardiwala, Senior Advocate with Mr. Atul K. Jasani for the Respondent. .... CORAM : DR. D.Y.CHANDRACHUD & J.P. DEVADHAR, JJ. 8[th] January, 2010. P.C.: The Income Tax Appellate Tribunal by its common judgment delivered in four appeals pertaining to the Assessment Years 1998-99, 1999-2000, 2000-01 and 2002-03 held that the condition precedent for the exercise of the jurisdiction under Section 147 of the Income Tax Act, 1961 viz. the recording of reasons by the assessing officer of the income having escaped assessment was absent in the case of the assessee. As a matter of fact, it was conceded before the Tribunal by counsel appearing for the revenue upon perusing the records that no reasons have been recorded in the case of the assessee for reopening of the assessment. In the circumstances, in the absence of the fulfillment of a statutory condition precedent for the exercise of the power of reassessment, the Tribunal was justified in quashing the proceedings. Consequently, the appeals filed by the revenue do not raise any substantial question of law and shall stand dismissed. (Dr. D.Y.Chandrachud, J.) (J.P. Devadhar, J.)